The Court of Appeal highlighted procedural law violations committed by the investigating authorities during the trial of former Terraform Labs leader, Do Kwon. The lack of clear justification and evidence supporting the legality of the extradition decision was among the main concerns.
The judge failed to adequately inform Do Kwon about the reasons and evidence behind the extradition request submitted by US law enforcement agencies, and also neglected to invite a defense representative to address the request. Consequently, Do Kwon’s case has been referred back to the lower court in the capital city of Podgorica for a thorough re-evaluation and subsequent decision.
The founder of Terra was apprehended by the Montenegrin police in March 2023 for attempting to leave the country using falsified documents during a border control check at Podgorica airport.
Previously, Dentons, the legal firm representing Terraform Labs and its founder Do Kwon, had expressed their intention to contest allegations brought against the company and its client by the US Securities and Exchange Commission (SEC). The SEC accuses the businessman of defrauding clients and engaging in market manipulation.