On Friday, Daniel Shin, co-founder of Terraform, appeared in a South Korean court at a hearing to decide whether he should be arrested for allegedly extracting illegal profits. However, the court dismissed the arrest warrant.
According to the Yonhap news, Shin is accused of selling a $105 million hoard of Terra’s LUNA tokens at the highest price of cryptocurrency. The tokens were already issued without the regular investors being aware of the fact.
Shin denied any ties to Terraform Labs after his departure from Doe in March 2020, when he went on to found Chai.
The judge said, “Considering the attitude toward the investigation, the circumstances, process, and contents of the statement, it is difficult to see that there is a risk of destroying evidence or escaping beyond the scope of exercising the right to legitimate defense.”
Prosecutors have also sought warrants to arrest three other Terraform Labs investors and four engineers. Terraform Labs has also been under investigation for tax evasion & alleged fraud. Even Interpol issued a red notice for Do Kwon.
Also Read: S.Korea to Impose ‘Notification Upon Arrival’ on Terra’s Do Kwon
