Luna cryptocurrency creator denies guilt but hires new legal team

Terraform Labs co-founder Do Kwon has hired a lawyer from a law firm in South Korea. This happened just a few days after Kwon said that the country’s authorities had not yet contacted him or filed any formal charges against him. It appears that Kwon is preparing the ground for a possible legal response in the event of a court case.

According to local media reports, Kwon recently submitted a letter requesting the appointment of a lawyer to the Seoul South District Prosecutor’s Office, whose department is investigating the Terra-LUNA collapse. Although Kwon claims that there are no official charges, the South Korean prosecutor’s office has conducted searches in 15 companies, including 7 cryptocurrency exchanges associated with Terra. This happened after investors filed a lawsuit against the head of Terraform Labs and his co-founder Daniel Shin, who are considered guilty of losing their funds.

As a reminder, Do Kwon is accused of fraud after the collapse of the Terraform Labs ecosystem worth more than $ 40 billion, including its stablecoin TerraUSD (UST) and native token Terra (LUNA). In June, the authorities launched an official investigation into the incident and found Terraform Labs guilty of tax evasion and manipulation in the cryptocurrency market, which even led to a number of investor suicides.

The country’s prosecutor’s office banned Terraform Labs employees and management from leaving the country.