According to an official release from the court, an appeal against an earlier bail agreement by the State Prosecutor’s office was cast aside allowing Do Kwon and Terraform Labs’ chief financial officer Han Chang-Joon to await further legal proceedings under house arrest in the country.
The court readopted bail terms originally set out in a hearing on May 12, with the pair having to pay $436,000 (400,000 euro) each to be released from custody. Do Kwon and Chang-Joon are now under strict bail terms and are unable to leave the latter’s formal residence in Montenegro.
The pair are set to be closely monitored by local police. If either of the two Terraform Labs’ duo leave the residence or violate supervision measures, the bail will be forfeit.
Kwon and Chang-Joon provided personal and financial information to local authorities which included evidence of a sales contract and property registration for an apartment, parking space and basement owned by Chang-Joon.
Kwon reportedly supplied an invoice for a vehicle as well as bank accounts statements, with the bail terms set so that the defendants would be discouraged from attempting to flee the country.
Kwon and Chang-Joon were arrested in Montenegro in March 2023, after allegedly using false travel documents in an effort to leave the country. The two had their original passports confiscated in South Korea in October 2022.
The Podgorica High Court noted that verifying the authenticity of Belgium passports and identity cards held by the pair would require more time, while it highlighted its belief that the agreed upon bail amount “is a sufficient guarantee of securing the presence of the defendants.”
Terraform Labs co-founder Do Kwon has been granted bail in Montenegro after an appeals process by prosecutors was dismissed by the Podgorica district court on June 2.
Do Kwon remains a wanted figure in a number of jurisdictions. South Korean authorities want to extradite the Terraform Labs co-founder for investigations into the iinfamous collapse of the Terra-LUNA algorithmic stablecoin which wiped out an estimated $40 billion from the cryptocurrency market in June 2021.