Terra founder Do Kwon, who disappeared from the partnership after the massive Terra-LUNA collapse in May 2022, was arrested in Montenegro last March.
Do Kwon, who was charged with using forged documents in Montenegro after his arrest, applied for bail.
Do Kwon, whose bail request was approved by the court, has allegedly moved millions of dollars worth of cryptocurrencies since his arrest.
Speaking to Bloomberg News, Dan Sunghan, Director of the Seoul Southern District Attorney's Office, said that $29 million worth of cryptocurrencies were likely moved by Kwon personally or on his orders.
Sunghan stated that they believe the Terra founder transferred millions worth of cryptocurrencies through a shell company or fake company affiliated with Terra.
“We assume that since Terra founder Do Kwon or someone under his direction was arrested in Montenegro, he took millions of dollars worth of cryptocurrencies and transferred it to another wallet and cashed it somewhere else, not Sygnum Bank.”
Sunghan also said that South Korean prosecutors are tracking the wallet to find out where the assets transferred from a cryptocurrency wallet linked to the Luna Foundation Guard are.
The South Korean official recently stated that the ongoing investigations revealed that Do Kwon and Terra-related entities still hold $13 million in Swiss bank Sygnum Bank.
As it will be remembered, in April, Do Kwon converted nearly $100 million worth of cryptocurrencies from Sygnum into cash.
*Not investment advice.