A South Korean court has approved local prosecutors’ request to freeze assets of about 120 billion Korean won (US$93.3 million) belonging to seven former associates of Terraform Labs Pte. Ltd., according to local media reports.

See related article: South Korea freezes Terra cofounder Daniel Shin’s US$104 mln in assets; CEO Do Kwon tweets he was wrong, not fraudulent

Fast facts

  • The seven former associates consist of three early investors and four core developers of Terra-Luna who are accused of collectively earning the US$93 million by selling LUNA that they attained prior to the officially disclosed issuance, local news outlet Ilyo Shinmun reported Tuesday.
  • Local prosecutors also reportedly accuse them of issuing Terra stablecoin and Luna cryptocurrency without telling investors that the tokens cannot be adopted as payment measures.
  • The seven individuals include Choi, former chief executive officer of Terra’s affiliate company Kernel Labs, and Kim, its current head. The surnames of both individuals were not revealed.
  • Kim allegedly earned US$61.5 million “unfairly” through LUNA, while Kernel’s former head Choi is accused of making US$31.8 million, according to local news outlet Ilyo Shinmun. Choi reportedly connected Terra cofounders Shin Hyun-seung and Kwon Do-hyung.
  • In November, South Korea’s Seoul Southern District Court gave the green light to freeze Shin Hyun-seung’s assets worth about US$108 million under the same charges that prosecutors now accuse the seven former Terra members of.
  • While the prosecutors investigating the collapse of Terra-Luna have been chasing after Terra chief Kwon Do-hyung, also known as Do Kwon since May, Kwon remains a fugitive to this day. The prosecutors also recently requested an arrest warrant to investigate Shin under custody, which was dismissed by the Seoul court.

See related article: Terra fugitive Do Kwon has registered address in Serbia: S. Korean local media