Terraform Labs co-founder Do Kwon taken into extradition custody as he awaits surrender to South Korea

Terraform Labs co-founder, Do Kwon, has been called by the court for extradition custody that could last up to six months as it determines whether to repatriate him to South Korea. The Terra executive is also under the spotlight for allegations involving the country's politics.

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Terra co-founder to be taken into extradition custody

Terraform Lab's co-founder Do Kwon will be taken into extradition custody, according to reports, which stated that the court had ordered his confiscation for six months as it deliberates whether the send him to his home country in South Korea.

The news comes after the regional edition of Radio Free Europe (RFE) reports, which also tied Do Kwon to Montenegro's politics. Based on the report, a court in Seoul, South Korea, had issued an arrest warrant for the disgraced Asian billionaire in September, labeling his case as:

The largest financial fraud or financial securities fraud case that has ever happened in South Korea

Besides Seoul, a court in the United States had also asked the Montenegro court system to send him to the US, where he faces multiple charges. Besides, federal prosecutors, the US Securities and Exchange Commission (SEC) also have fingers pointed at Do Kwon for violating securities laws.

Before possible extradition, however, the Montenegrin Basic Court has a date with Kwon today, June 16, who will be standing alongside Terraform Labs chief financial officer (CFO) Han Chong-Joon to explain why they had fake passports and travel documents at the Podgorica airport in Montenegro with plans to head to Dubai.

Terraform Labs co-founder's expected session with Special State Prosecutor's Office over political ties

Further, the Special State Prosecutor's Office also plans to interrogate Do Kwon concerning the alleged relationship with politician Milojko Spajić. This comes after Do Kwon sent a letter to multiple officials claiming that he met the prime minister candidate and leader of the Europe Now party several times.

The letter received a few days before the most recent election series could have a bearing on the country's next step as the government does not want assertion with an individual charged with corruption and financial crime. The prosecutors would therefore be determining whether Kwon sponsored the party's campaigns.