• Montenegrin high court revokes bail for Terraform Labs co-founders Do Kwon and Han Chang-joon.
• The pair had been granted bail under the condition of paying €400,000 each, but the prosecution objected to this decision.
• The court has now reversed its ruling to keep Kwon and Chang-joon in custody until further notice.
Montenegrin High Court Revokes Bail for Terraform Labs Co-Founders
The Montenegrin high court has revoked bail for Terraform Labs co-founders Do Kwon and Han Chang-joon, overturning an earlier decision. Marija Rakovic, a court spokeswoman, confirmed the news to DL News this afternoon.
Background of Case
Kwon and Chang-joon were arrested at an airport in Podgorica in March while attempting to flee to Dubai using counterfeit Costa Rican passports. Both have since pleaded not guilty to charges of conspiracy to commit fraud and market manipulation in the United States and South Korea. On May 12th, they were granted bail under the condition of paying €400,000 each. However, prosecutor Haris Šabotić objected against this decision due to worries that they may evade court hearings or delay proceedings by failing to respond to summonses.
State Prosecutor’s Office Appeals Bail Decision
On May 17th, following Šabotić’s objections, the State Prosecutor’s Office in Podgorica appealed the bail decision on grounds that 800,000 euros was not considered a reliable guarantee nor were their assurances that they would not flee upon release from detention sufficient.
High Court Revokes Bail
The high court has now reversed its ruling on granting them bail with the matter being referred back to a basic court for approval. As deliberations over their status continue between judges from both courts, Kwon and Chang-joon will remain in custody until further notice.
International Attention Over Crypto Fraud Scheme
Kwon’s involvement in what is reported as a multi-billion dollar crypto fraud scheme has attracted attention worldwide as jurisdictions search for him. Following his arrest along with his associate Chang-joon in March 2021 and subsequent rulings by courts have created further suspense regarding his fate amidst legal proceedings taking place across various countries worldwide while trying him on multiple charges related to fraud schemes involving cryptocurrencies such as Bitcoin (BTC).