The police in Serbia have taken possession of an apartment in Belgrade where Do Kwon, the founder of Terraform Labs, had been hiding for six months before being apprehended in Montenegro.
The duplex, worth €2.2 million, was raided by the police on Friday, after it was revealed that Han Chang-Joon, Kwon’s associate, had purchased it while on the run.
According to Prosecutor Branko Stamenkovic, the apartment was temporarily confiscated on suspicion that it had been bought using money received from Kwon’s alleged criminal activities in South Korea.
The investigation has raised several questions about how Kwon and Chang-Joon managed to register a business in their name and purchase property while being wanted by Interpol.
In March, it was disclosed that Kwon established a company in Serbia for less than a dollar, just weeks after being placed on the international wanted list.
It is believed that Kwon and Chang-Joon used their Korean passports to register the company, which is still operating.
Kwon also hired the services of Serbian law firm Gecic Law to represent him.
Kwon was arrested by the police in Montenegro in mid-March for using forged documents.
The Criminal Code of Montenegro imposes a maximum penalty of imprisonment for up to three years for this offense.
The U.S. Attorney’s office also charged Kwon with fraud and market manipulation, and is seeking his extradition to the United States.
In February, the U.S. Securities and Exchange Commission (SEC) accused the Terraform Labs creator of violating securities laws.