Montenegro’s Supreme Court has referred the case of Terraform Labs co-founder Do Kwon to the Minister of Justice to decide whether to extradite him to the United States or South Korea, Cointelegraph reported.
The United States and South Korea filed criminal charges against Kwon after the Terra ecosystem collapsed in 2022. In 2023, Kwon was arrested in Montenegro and sentenced to four months in prison for using fake travel documents.
For now, Kwon remains in legal limbo as a Montenegrin court considers competing motions from his lawyers, the South Korean government, and the U.S. government.
A U.S. court ruled that Terraform Labs and Kwon defrauded investors and must pay a fine of approximately $4.5 billion. Terraform has filed for bankruptcy protection and plans to cease operations.
South Korean authorities have indicted multiple individuals associated with Terraform and approved the extradition of former Chief Financial Officer Han Chang-Joon to South Korea.