Yoo Mo, Terra’s Head of General Affairs, has reportedly been detained by South Korean authorities. This is the first arrest made in the ongoing Terra-LUNA investigation. Yoo Moo was the subject of a bench warrant issued by South Korean officials on Wednesday. He is Do Kwon’s top assistant at Terraform Labs.
Yoo is accused of violating several laws, including the Capital Markets Act, fraud, and duty violations. Choi Sung-kook, the district attorney, acknowledged the arrest but did not disclose where or when it occurred.
As of Thursday morning, the Seoul Southern District Court was preparing to issue a “direct judgment of warrant” on Yoo in order to decide whether to grant the bench warrant. The decision will be made public later today.
On September 14, local authorities issued an arrest warrant for Kwon, Terraform Labs co-founder, and CEO.
Prosecutors also claim that Yoo used bot programming to increase and maintain the value of Terra’s coin.
According to the most recent reports, the South Korean government has given Kwon 14 days to present his passport. His passport will be “administratively invalidated” if he fails to comply.
Not only the South Korean government is on the hunt for Kwon, Interpol is also trying to apprehend him. It seems the authorities are trying to round up Kwon’s inner circle before confronting him. Kwon, however, has asserted that he was not on the run from law enforcement. There is speculation that Kwon lives in Singapore, but this has yet to be confirmed.
The arrest announcement appears to have had an impact on the Terra projects. At the time of publication, the price of LUNC (Luna Classic) had dropped 3.5% from the previous day to $0.00029727. LUNA, on the other hand, was down 1.8% in the previous 24 hours, trading at $2.53.
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