Written by 9:44 am Wealth Building Views: [tptn_views]

Terra co-founder Daniel Shin’s arrest denied by court, citing low flight risk

An area South Korean court has rejected a prosecutor’s request for an arrest warrant for Terraform Labs co-founder Shin Hyun-Seong, also often known as Daniel Shin. This was the second attempt by the South Korean authorities to seize power in Shin after the recent arrest of Do Kwon, one other co-founder of Terra.

On March 23, Kwon was arrested at Podgorica Airport in Montenegro while attempting to make use of false documents to fly abroad. The Seoul Southern District Prosecutor’s Office took advantage of the situation and requested an arrest warrant for Shin on March 27, citing his involvement in illicit profits from the sale of Terra (LUNA) and TerraUSD (UST).

However, the Seoul Southern District Court rejected the request, citing unsubstantiated allegations and that Shin was unlikely to pose a flight risk or destroy evidence, According to to local Yonhap media.

Shin is currently facing multiple fraud allegations, particularly in relation to Terraform Labs’ alleged concealment of the risks of investing in internal tokens.

Related: South Korea to analyze cryptocurrency staking services after Kraken case

After Kwon was arrested in Montenegro, US and South Korean authorities tried to extradite Kwon.

As reported by Cointelegraph, Montenegrin Justice Minister Marko Kovač said that the United States had made diplomatic efforts to ask for Kwon’s extradition, while South Korean officials had sought his extradition.

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“In the event that we receive several extradition requests, I would really like to say that determining which state they can be extradited to is predicated on several aspects, similar to the seriousness of the crime committed, the place and time of the crime, the order wherein we received the extradition request and several other other aspects,” Kovač said through an interpreter.

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