Do Kwon, the co-founder of Terraform Labs, has seen his potential extradition to South Korea put on hold due to a legal objection from Montenegro’s supreme state prosecutor. The challenge arises amid Montenegro’s consideration of competing extradition requests for Kwon from both South Korea and the United States, where he faces criminal charges related to the dramatic collapse of the Terra ecosystem in May 2022.
Legal Challenge from Montenegro’s Top Prosecutor
The legal challenge highlights concerns over the Montenegrin High Court’s decision-making process in opting to extradite Kwon to South Korea instead of the U.S. The Supreme State Prosecutor’s Office critiqued the High Court for conducting “abbreviated proceedings,” which allegedly exceeded its jurisdiction. According to the prosecutor’s office, the final decision on extradition should rest with the country’s justice minister, not the court.
Background of Kwon’s Custody
Kwon has been in custody in Montenegro since March 2023 after he was arrested for attempting to travel to Dubai with forged Costa Rican documents. His arrest followed months on the run after a “red notice” was issued by Interpol, six months post the Terraform Labs and Terra ecosystem implosion, which resulted in a loss of approximately $40 billion.
Extradition Requests and Legal Proceedings
Both South Korea and the U.S. have submitted extradition requests for Kwon, who has faced multiple legal battles and appeals against extradition since his arrest. His colleague, Han Chang-joon, was extradited to South Korea in February. Kwon’s legal representation previously suggested that his extradition to South Korea was imminent after March 23. However, the recent challenge by Montenegro’s supreme state prosecutor has cast uncertainty over the timing and destination of Kwon’s extradition.
As legal proceedings continue, the situation remains fluid, with Montenegro’s justice system and political authorities grappling with international legal complexities and the high-profile nature of Kwon’s case.
