After Terra’s collapse in May, Do Kwon and Terraform Labs became defendants in numerous lawsuits.
Terra’s Do Kwon allegedly hires new lawyers.
According to a report Wednesday, Terraform Labs’ outspoken CEO has appointed a local legal team in anticipation of a legal battle. According to the article, Kwon submitted a letter appointing him to the Seoul Southern District Attorney’s Office investigating Kwon and Terraform Labs.
Following Terra’s $40 billion collapse in May, several agencies have looked closely at Kwon and Terraform Labs in recent months. The Seoul Southern District Attorney’s Office in South Korea is investigating allegations that Kwon was involved in tax evasion and running a Ponzi scheme.
During the investigations, Investigators also conducted raids on several cryptocurrency exchanges and other sites linked to the crash. Terra and Terraform Labs personnel are prohibited from leaving the country.
In addition to the U.S. Securities and Exchange Commission, the South Korean Parliament is also looking into the matter
Kwon and Terraform Labs now face class action lawsuits in South Korea
Kwon spoke for the first time since Terra exploded in a Coinage interview published Monday, claiming he had no contact with Korean officials. The movie was shot in Singapore, where Kwon currently resides.
Kwon has recently faced several legal challenges due to Terra’s explosion. Days after the IHR failed, Terraform Labs’ legal counsel resigned in May. Soon, information about many investigations and lawsuits related to Terra became public.