The CEO and co-founder of Terraform Labs, Do Kwon, is currently under investigation for alleged passport forgery in Montenegro. The South Korean businessman was recently arrested in the Balkan nation while attempting to board a flight to Dubai using a fake Costa Rican passport. Kwon disappeared after heading to Singapore in April 2022, shortly before the collapse of his firm’s stablecoins ust and Terra. Reports suggest that he then registered a new company in Serbia before moving on to Montenegro.
The prosecutor leading the Montenegrin investigation against Kwon has suggested that it may be some time before extradition proceedings begin. Haris Šabotić stated that condemning crimes committed within Montenegrin jurisdiction is a priority for the country’s authorities. The prosecutor also said that Kwon is likely to be indicted within a month, ruling out the possibility of his extradition to other countries within the current detention period. The US, Singapore and South Korean governments are all hoping to secure Kwon’s extradition.
Šabotić explained that the allegations against Kwon are subject to ongoing investigation, and that earlier reports of an indictment were inaccurate. After the initial detention period of 72 hours, Kwon’s time in custody was extended to 30 days so that an indictment can be secured. If Kwon is found guilty of forgery of official documents, he could face up to five years in prison under Montenegrin law.
The prosecutor declined to discuss the potential extradition in detail, as he stated that his focus is on the passport forgery investigation. Commentators have suggested that it is unclear whether Montenegro will agree to extradition requests from South Korea, Singapore or the US, particularly if all three countries request the same.
It is uncertain whether Do Kwon will eventually be extradited from Montenegro, and if so, to which country.
