US, South Korea, Both Seek Crypto Fraudster’s Extradition From Montenegro

Police officers escort South Korean crypto mogul Do Kwon (R) in Podgorica, Montenegro. Photo: EPA-EFE/BORIS PEJOVIC

On March 23, Do Kwon and Han Chang-Joon, a senior executive at Chai a mobile payment provider, were arrested at Podgorica airport trying to board a private flight to Dubai in the United Arab Emirates with falsified travel documents from Costa Rica. The Montenegrin prosecution the next day charged Do Kwon and Han Chang-joon with falsifying their ID.

During the inspection of luggage, police also found falsified Belgium and South Korean passports and three laptops and five mobile phones. Reportedly, cryptocurrencies and potential evidence of fraud could be on those devices.

Kovac said the extradition process would only be initiated after Do Kwon and Han Chang-Joon serve their sentences in Montenegro for falsifying documents. Montenegrin law stipulates five month to three years in prison for falsifying documents.

"So far, South Korea and the US have requested extradition, but we also expect Singapore to send a request, as criminal proceedings have been initiated there. Montenegrin authorities will decide which country to extradite them to according to the committed crime, the place where it was committed and their citizenship. It's too early to say," Kovac told a press conference.

In September last year, a South Korean court issued an arrest warrant for the founder of Terraform Lab company after he was accused of fraud by investors in the wake of the collapse of his company.

Kwon was charged with fraud and breaches of South Korea's capital markets law. Kwon claimed the charges were "politically motivated."

On September 26, an Interpol red notice was issued for his arrest for his alleged role in the collapse of...