According to BlockBeats, on July 31, The Block reported that the U.S. Securities and Exchange Commission (SEC) released an information page specifically for investors affected by Terraform Labs. The SEC said that since the two parties reached a settlement agreement last month, investors have been asking how compensation will be carried out. The SEC claimed on its webpage that the SEC will not receive any compensation until investors and creditors receive full compensation from the corresponding bankruptcy case. The SEC added that the Chapter 11 plan confirmation hearing and start date are expected to be held in the fall.
According to previous news, in June this year, Terraform Labs reached a settlement with the U.S. Securities and Exchange Commission (SEC) and agreed to pay a $4.47 billion fine to the SEC. Terraform will recover $3.58 billion in illegal gains and pay a $420 million civil fine, and its co-founder Do Kwon will be prohibited from serving as an executive or director of a listed company. Do Kwon must also pay $204 million to compensate damaged investors.
