Do Kwon Released from Detention in Montenegro, Confronts Home Confinement and Extradition Struggle

Do Kwon, one of the co-founders of Terraform Labs, is currently caught up in a lengthy legal battle. With an impending trial in the United States and uncertain extradition proceedings, his situation remains precarious. However, there has been a recent development that provides him with temporary respite: a court order has allowed him to transition from jail to house arrest.

Kwon’s legal woes can be traced back to the massive collapse of TerraUSD, which resulted in a staggering $40 billion financial disaster. The aftermath of this catastrophe has only deepened his troubles.

On March 22nd, the Montenegrin Supreme Court intervened, replacing Kwon’s imprisonment with house arrest. While this offers some relief, there are strict conditions attached. Kwon’s passport has been confiscated, and he is subject to travel restrictions, effectively confining him within the borders of Montenegro.

Recent events have sparked a clash within Montenegro’s legal system. The Supreme Prosecutor has challenged the High Court’s authority in handling Kwon’s extradition to the United States. This disagreement prompted the Supreme Court to intervene, temporarily halting the extradition process and igniting debates regarding legal jurisdiction.

According to local reports, the Council of the Supreme Court, headed by Judge Milenka Seka Žižić, along with judges Ana Vuković, Zoran Šćepanović, Dr. Vesna Vučković, and Seka Piletić, implemented this decision by citing Article 440, paragraph 4 of the Criminal Procedure Code. This article states that “the Supreme Court, taking into account the content of the request for legal protection, may decide to postpone or suspend the execution of a final court decision.”

As Do Kwon navigates through this challenging situation, his transition to house arrest marks a significant turning point in his tumultuous journey. While uncertainties still linger, this change provides him with some stability amidst the storm of extradition and legal complexities.