Prosecutors Conduct Second Raid on Chaicorp Corporation Over Customer Data Leak from Terra

[Asia Economy Reporter Yoo Byung-don] The prosecution, investigating the collapse of 'Terra·Luna,' has conducted another raid on Chai Corporation, a simple payment service provider that utilized Terra as a payment method.

The Financial and Securities Crime Joint Investigation Team (Chief Dan Sung-han) of the Seoul Southern District Prosecutors' Office sent prosecutors and investigators to Chai Corporation's headquarters in Seongsu-dong, Seongdong-gu, Seoul, on the morning of the 15th to secure transaction details and accounting records related to Terraform Labs, the issuer of Terra·Luna.

The prosecution suspects that Chai Corporation unlawfully leaked customer payment information to Terraform Labs during the launch of the Terra payment service in 2018.

Terraform Labs, which designed Terra·Luna, was co-founded by CEO Kwon Do-hyung (31) and Shin Hyun-sung (37), the General CEO of Chai Corporation.

The prosecution plans to summon CEO Shin this week as a suspect for violations of the Capital Markets Act and breach of trust. He is suspected of earning unfair profits of approximately 140 billion KRW by selling Luna at its peak and using Chai Corporation's customer information and funds during the promotion of Terra·Luna.

CEO Shin's side denied the allegations, stating, "Since parting ways with CEO Kwon in March 2020, he has had no involvement in Terra's management."

The prosecution previously raided Chai Corporation and seven virtual asset exchanges on July 20. The additional raid on this day is known to be aimed at securing evidence necessary to prove CEO Shin's breach of trust and customer information leakage charges.

This content was produced with the assistance of AI translation services.