Prosecution Detects Tens of Billions Won Transferred to Kim & Chang by Kwon Do-hyung

Prosecutors have detected signs that funds from Terraform Labs flowed to Kim & Chang law firm just before the Terra and Luna coin prices plummeted, and have launched an investigation.

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On the 13th, the Joint Investigation Team on Financial and Securities Crimes of the Seoul Southern District Prosecutors' Office (Chief Dan Seong-han) confirmed that tens of billions of won were transferred to Kim & Chang through the flow of funds from Terraform Labs' headquarters in Singapore. It is known that this money was transferred multiple times over several months before the Terra and Luna coins crashed in May last year.

The prosecutors are investigating whether Terraform Labs CEO Kwon Do-hyung had other intentions, given that the transferred amount exceeded typical advisory fees. There is a possibility that he anticipated the cryptocurrency crash and prepared legal responses in advance. It is also known that if the conditions for confiscation of criminal proceeds are met, seizure preservation is possible.

The prosecutors are also proceeding with pre-indictment seizure preservation procedures on CEO Kwon's domestic and overseas assets worth 7.1 billion won. Judicial cooperation procedures are reportedly underway to freeze CEO Kwon's Swiss bank accounts and other deposit accounts.

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