SK Bans Ex-Terraform Employees From Leaving

South Korea regulators bare their teeth:

Bloomberg headline: Korea Bans Terraform Staff From Leaving Country Amid Probe

:pushpin: 15 current and former employees can’t travel, Yonhap reports

:pushpin:Travel ban comes as Korea steps up probe into Terra’s collapse

https://archive.ph/AzNrK

South Korea’s move comes a little more than a month after the high-profile implosion of algorithmic stablecoin TerraUSD, or UST. Around $40 billion in market value was erased for holders of UST and its sister coin Luna when the stablecoin plunged far below its $1 peg. An investigation into the marketing of UST is underway in the US.

Daniel Hong, a former developer at Terraform, posted on his Twitter feed a government notice telling him that he was prohibited from departing the country from June 20 to July 19. “stop asking me why i couldn’t make it to NYC frens, this is why: the Korean government imposed an exit ban for all ex-@terra_money employees today” Hong tweeted.

Prosecutors are also looking to invalidate Terraform Labs co-founder Do Kwon’s South Korean passport, local broadcaster YTN reported on Tuesday. Should that happen, Kwon, who is believed to be living in Singapore, would need to return to Seoul to turn in his passport within 14 days. The authorities may also summon Kwon or issue seize and search warrants to collect related documents from his office, Yonhap reported.

1 Like