Do Kwon, the founder of Terraform Labs, has been charged with forgery in Montenegro, according to a report by AFP. Kwon is due in court on Friday for extradition proceedings, after being arrested at Podgorica airport along with another individual.
The charges come in the aftermath of the collapse of stablecoin terraUSD, which caused widespread concern in the crypto markets last year. Kwon has been on the run ever since, and his arrest in Montenegro marks a significant development in the ongoing investigation into the incident.
According to Montenegro’s police, a criminal complaint has been filed against Kwon and the other individual for the criminal offense of document forgery. It is unclear which country has issued the extradition request, but Kwon is due to appear in court later on Friday in Podgorica.
In addition to the charges in Montenegro, Kwon has also been charged with fraud by federal prosecutors in New York, just hours after his arrest. The charges highlight the risks associated with cryptocurrency investments and serve as a reminder of the importance of due diligence when considering any kind of crypto-related venture.