The extradition process for Do Kwon, the founder of Terraform Labs, has been postponed once more following a ruling by Montenegro’s Constitutional Court on October 18. This unexpected delay surprised the country’s Justice Ministry, which had anticipated making a public decision by October 20.
Extradition Process Stalled by Court Ruling
Montenegro’s Supreme Court had previously assigned the decision regarding Do Kwon’s extradition to the Justice Ministry in September. Both the United States and South Korea are seeking his extradition on charges related to his crypto operations. However, the Constitutional Court suspended the ministry’s decision pending its ruling on Kwon’s appeal.
The Justice Ministry expressed frustration with the timing of the court’s suspension, stating that it was not informed until the last moment. In response, the ministry urged the Constitutional Court to act swiftly and keep them updated in the future.
Arrest and Legal Complications
Kwon and Han Chang-joon, Terraform Labs’ former chief financial officer, were arrested in March 2023 at Podgorica’s airport for attempting to travel using fake passports. Both men were sentenced to four months in a Montenegrin prison.
Despite Kwon’s arrest, his extradition has faced multiple legal hurdles. The High Court of Podgorica approved Kwon’s extradition in November 2023 but did not determine his destination. These delays have been attributed to ongoing appeals and complex legal battles. Han was extradited to South Korea in February 2024, but Kwon remains in Montenegro.
Legal Troubles and Crypto Movements
Kwon’s legal troubles extend beyond Montenegro. In April, he was found liable in a civil lawsuit brought by the U.S. Securities and Exchange Commission (SEC) for defrauding investors. There are concerns that Kwon may still have access to his cryptocurrency holdings. In September, one of his associated crypto wallets moved 1,075 Bitcoin, valued at $62 million.
Other Crypto Fugitives in Montenegro
Kwon isn’t the only cryptocurrency figure facing legal issues in Montenegro. Roman Ziemian, co-creator of the FuturoCoin (FTO) token, was arrested in Podgorica in August. Ziemian is wanted for fraud in both Poland and the United States, adding to Montenegro’s growing reputation as a refuge for crypto fugitives.
