According to a local report from South Korea, the country’s prosecutors have evidence that suggests Do Kwon, a co-founder of Terraform Labs, once gave employee instructions to alter the price of Terra Luna Classic (LUNC).
An official from the South Korean Prosecutors Office is quoted in a report by Korean Broadcasting System (KBS) on Nov. 3 as saying that they have procured a “conversation history” in which “CEO Kwon specifically ordered price manipulation.”
A “messenger conversation” between Kwon and a former Terraform Labs employee was reportedly used as the basis for the reported evidence. The prosecution withheld additional information, stating that more details can’t be revealed.
“It was a conversation history where CEO Kwon specifically ordered price manipulation.”
The exact details of Terra price manipulation are unclear
The price action of Terra’s LUNC (previously LUNA) during the previous bull market was unquestionably one of the most impressive across all cryptocurrencies, even though the specifics of the price manipulation are still unknown.
From $4.18 in late May 2021 to its all-time high of $119.18 on April 5, its price increased by more than 2,800%. Before its catastrophic fall on April 30, 2022, according to data from CoinGecko.
However, the report notes that Kwon’s agent has persisted in refuting these accusations.
Additionally, Kwon and his representatives have in the past refuted claims that they broke the capital markets regulations in South Korea.
In September, Terraform Labs claimed that the prosecution’s case against its co-founder had become “highly politicized” and that, in response to pressure from the public, prosecutors had broadened the definition of security.
Despite Kwon’s co-founder of the Terra ecosystem having previously claimed he is “not on the run,” it is still unclear where he is.
According to earlier reports, Kwon initially relocated from South Korea to Singapore before moving to Dubai, United Arab Emirates (UAE). Now, according to the KBS report, Kwon is allegedly living in Europe without a passport as of November 3.
However, in one of his most recent tweets, he stated that he is going to throw a meetup to get over all the nonsense about his hiding.
Kwon also added that cops from the world over are welcome to attend.
