The timing of the payment suggests that Kwon may have anticipated the trouble ahead for Terra.
South Korean prosecutors indicated that the crypto entrepreneur Do Kwon sent funds to a local law firm just before the tokens he created suffered a $60 billion crash that shook the digital asset sector.
Kwon sent 9 billion won (7 million USD) to the law firm Kim & Chang, including a payment just before the TerraUSD and Luna token collapse.
“We cannot provide specific details on individual cases. We have carried out our legal advisory services as usual and have legitimately received the fees for the services“, Was the response of the Kim & Chang studio.
Kwon was arrested in Montenegro last month and it has been accused of fraud by the US attorney. He also faces charges in South Korea, including violation of the capital markets law.. The timing of the payment to the lawyers suggests that Kwon may have anticipated legal trouble as his cryptocurrency project unraveled.
Kwon, 31, co-founded the cryptocurrency company Terraform Labs Pte. He was detained in Montenegro along with the company’s former CFO Han Chang-joon. Kwon is expected to be extradited to the US or South Korea in due course.
