key takeaways
- According to Monday’s JTBC report, Terraform Labs employees have been banned from leaving South Korea while the investigation into Terra’s explosion is still ongoing.
- A former Terra developer confirmed the reports on Twitter today, saying that prosecutors did not inform any of the employees of the ban potentially destroying evidence or preventing them from fleeing the country.
- Outside Korea, the US Securities and Exchange Commission is investigating TerraForm Labs and its founders suspected of illegally selling unregistered securities to US clients.
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South Korean prosecutors probing Terra’s collapse of TerraForm Labs and its co-founders Daniel Shin and Do Kwon have reportedly imposed departure bans on current and former employees.
Prosecutors impose departure ban on Terraform Labs staff
South Korean prosecutors have reportedly banned Terraform Labs employees from leaving the country.
As reported Monday by a local news outlet JTBCThe Joint Financial and Securities Crimes Investigation Unit of the Seoul Southern District has barred some key employees of TerraForm Labs from leaving Korea. The unit investigating Terra’s $40 billion explosion in the second week of May reportedly banned departures without notifying affected employees to stop abruptly fleeing the country amid an ongoing investigation or potentially destroying evidence. Fixed.
Stop asking me why I couldn’t make it to NYC Frances, here’s why: The Korean government banned all exits for pre-@terra_money employee today pic.twitter.com/5Jds99ZNwQ
— Daniel Hong (@unifiedh) 20 June 2022
Daniel Hong, a former developer of Terraform Labs, independently confirmed this JTBC Report on Twitter today, saying he can’t leave the country because “Korean government banned exit for everyone” [email protected]_money employee today.” He said prosecutors had not informed him of the departure ban and later explained that they rarely inform him of the travel ban under investigation to destroy evidence or prevent him from leaving the country.
last month, JTBC reported that the Korean authorities Summoned For inquiries from all employees of Terraform Labs. However, Vocal is going under FatManTerra according to crypto sleuth, which claims to be direct link Along with prosecutors, officers had difficulty contacting employees. Responding to Hong’s comments on Twitter today, he wrote,
“They Summons You” [Hong] and all employees of Terra. It’s all been in the news. The Korean prosecutor and our investigative team are trying to contact you all, but almost everyone is a ghost. What do you expect? You will be able to sleep whatever you sow.”
Hong denies FatManTerra’s claims, answer that Korean prosecutors did not contact him and that he had been contacted several times but was constantly ignored. According to multiple media reports, the Special Investigation Unit is investigating a number of allegations including Terraform Labs and its co-founders Do Kwon and Daniel Shin. tax evasionMoney Laundering, Fraud, and Ongoing Ponzi scheme,
The US Securities and Exchange Commission is also investigating the company and its founders on suspicion of illegally selling unregistered securities to US clients through the Mirror Protocol, a synthetic assets platform operated by TerraForm Labs. On June 9, Kwon and his company lost an appeal Before the US Court of Appeals challenging the SEC’s subpoena requests. TerraForm Labs is now obliged to provide the securities regulator with all requested documents and evidence.
Neither Daniel Hong nor Terraform Labs had responded crypto briefingRequests for comment as of press time.
Disclosure: At the time of writing, the author of this article owns ETH and several other cryptocurrencies.
