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Local reports from South Korea have claimed that prosecutors have obtained evidence to suggest that Do Kwon, co-founder of Terraform Labs, ordered an employee to manipulate the price of Luna Classic (LUNC).
Korean Broadcasting System (KBS) has reported that an official from the South Korean prosecutor’s office obtained a “conversation history” in which “CEO Kwon specifically ordered price manipulation.” According to reports from Cointelegraph, the report reveals a “messenger conversation” between a former Terraform Labs employee and Kwon. The prosecutors have however chosen not to disclose any more details and said:
I can’t reveal details, but it was a conversation history where CEO Kwon specifically ordered price manipulation.
The exact details of Kwon’s involvement remain undisclosed, Terra’s LUNC, formerly known as Terra (LUNA), price action may reveal more information. During the last bull run, the coin’s movements left many stunned. The price rose over 2,800% from $4.18 in late May 2021 to reach an all-time high of $119.18 on April 5, 2022, before plummeting spectacularly on April 30. In addition to being accused of price manipulation, KBS revealed that prosecutors no longer are simply accusing Kwon, but said that they have enough evidence to make an arrest.
Kwon has also been accused of violating the Capital Markets Act.
Reports Suggest Kwon is in Europe
It has been revealed that South Korean prosecutors that Kwon is currently hiding in Europe as an illegal immigrant. Amid various accusations being levelled against him and also being actively sought out by Interpol, the co-founder has implied that he is not guilty of any wrongdoing. An arrest warrant has also been issued and regional South Korean authorities are seeking his capture. Until now, Kwon's whereabouts have been largely unknown, but according to reports by KBS it was revealed that “Kwon’s passport has been invalidated as of today, and it is understood that he is currently in Europe.”
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