According to information from South Korea’s Munhwa Ilbo newspaper, law firm LKB & Partners is expected to represent investors damaged after the collapse of LUNA-UST to sue CEO Do Kwon. Six lawyers from LKB & Partners are participating in the operation.
Terra CEO Do Kwon is about to be sued by Korean investors
According to the source, LKB will represent many individual investors affected by the collapse of LUNA-UST, including many law firm employees. The complaint is expected to be sent to the Financial Investigation Team of the Seoul Metropolitan Police Department. Not stopping there, LKB also sent an application to the Seoul Southern District Prosecutor’s Office, requesting the confiscation of Do Kwon’s assets. The law firm also intends to sue Daniel Shin, another co-founder of Terra, along with Do Kwon.
To clarify, both lawsuits didn’t reach the court yet. But likely very soon
— Doo | StableNode @Permisionless (@DooWanNam) May 18, 2022
Another source on Twitter confirmed that in addition to the above two civil and criminal lawsuits, a Korean investor community claiming to be “Victims of LUNA, UST” with more than 1,100 members would also sue the two men. Do Kwon and Daniel Shin next week, on charges of fraud and illegal fundraising. However, this information has not been verified.
Previously, on May 17, it was reported that a South Korean lawmaker asked the National Assembly of this country to summon Do Kwon and leaders of many major domestic exchanges to testify to answer questions. asked about the cause of the collapse of the LUNA-UST model and measures to protect investors.
Meanwhile, according to the investigation, the legal team of Terraform Labs simultaneously resigned when the project began to collapse, forcing the company to seek outside lawyers.
Since the catastrophe happened, as AZCoin News reported, Do Kwon had posted his personal proposal to reconstruct Terra, wanting to hard fork the blockchain back before the UST depreciated on May 8 and issue the new LUNA coin. However, the CEO’s proposal was met with fierce opposition from the community. Most disagree with CEO Do Kwon’s blockchain hard fork proposal.
Read more:
- Most Users Feel Frustrated And Want Nothing To Do With Do Kwon
- Legal Team At Terraform Labs Resigned Shortly After The Collapse Of TerraUSD (UST)
- South Korea’s Ruling Party Wants The Country’s Parliament To Hold A Hearing On The TerraUSD Collapse