- Korean prosecutors found a $7m transfer from Do Kwon to the law firm Kim & Chang.
- Kim & Chang has a reputation for defending high-profile criminals and corporations.
- The timing of the transfer raises suspicions of Kwon’s alleged involvement in the fraud.
Recent revelations allege that Korean prosecutors have uncovered a $7m wire transfer from Do Kwon to Kim & Chang, a prominent law firm in the country. The transfer occurred shortly before Terra’s collapse, a controversial cryptocurrency project Kwon co-founded.
Korean prosecutors have discovered that shortly before Terra collapsed, Do Kwon wired $7m to Kim & Chang, a large law firm in Korea. Kim & Chang is infamous for successfully defending high-profile criminals as well as corporations accused of major fraud. https://t.co/tXJdIYXFea
— FatMan (@FatManTerra) April 13, 2023
According to FatMan, a finance researcher at the Terra Research Forum, Kim & Chang has a reputation for defending high-profile criminals and corporations facing major fraud accusations. The discovery raises questions about the law firm’s involvement in Terra’s downfall and Kwon’s actions leading up to it.
In addition, the timing of the wire transfer to Kim & Chang raises suspicions that Kwon and his team may have been aware of the impending collapse of Terra. It suggests they prepared legal strategies to defend against potential investigations and prosecution.
Based on the reports, the transfer may serve as further evidence of Kwon’s alleged involvement in fraud, which has been the subject of an investigation by Korean authorities. An attorney acquainted with the matter speculates that the move shows that Kwon and his partners anticipated legal concerns and tried to offset them. To do this, they hired a prominent law firm with a track record of successfully defending businesses against fraud charges.
The prosecution’s further belief that the money siphoned off by Kwon could be collected and preserved. This may offer hope for the approximately 200,000 people who invested in Terra Luna and lost money in the crash.
Despite Kwon’s apparent lack of compensation, the investigation into the collapse of Terra and Kwon’s actions leading up to it is ongoing. Ultimately, there may be some chance for investors to recoup their losses.
However, the lack of transparency from Kim & Chang complicates confirming specific details and the potential recovery of funds. As the investigation continues, it remains to be seen what justice will be served for the victims of the Terra Luna collapse.