Terra’s founder is seeking freedom from a lien on more than $105 million in LUNA sales debt. The Southern District Court has issued an inquiry against Terra’s co-operator to issue an immediate judgment and warrant of arrest.
As the legal crisis engulfs Terra’s employees, key defendants have appeared in court in South Korea. South Korean prosecutors are seeking arrest warrants for Daniel Shin and seven other Terra friends.
Will the founder of Terra be relieved of his arrest? According to reports, the South Korean District Court of Seoul has started an investigation against Terra’s co-founder to issue a justice and arrest warrant. Lawyers suggest that the court is expected to make the decision on Friday evening. The defendant included early investors and engineers from Terraform Labs.
It is expected that some of these defendants are involved in the development of the stablecoin USTC and Luna Classic (LUNC). Daniel Shin is accused of fraud and violation of capital market laws and breach of duty. The report shows that Shin made illegal profits of more than $107 million (140 billion Korean won) using LUNC. It is promoting the stablecoin Terra as a payment method despite several warnings from regulators.