A judge with the Seoul Southern District Court has reportedly set aside arrest warrants for Terra co-founder Shin Hyun-seong, along with three Terra investors and four developers.
According to an Dec. 3 report from South Korea’s Yonhap News Agency, Judge Hong Jin-Pyo said there was little risk of Shin or the Terra associates destroying evidence related to the case against the crypto firm, and dismissed warrants that the Seoul Southern District Prosecutors Office issued on Nov. 29. The report added that Terra co-founder Do Kwon, also facing legal action in South Korea for his role in the firm’s collapse, was unlikely to return to the country.
“The Seoul Southern District Court’s ruling on Dec. 3rd to reject South Korean prosecutors’ detention warrant requests for former Terraform Labs employees once again illustrates the unfounded nature of the prosecutors’ claims,” a Terra spokesperson said to Cointelegraph.
Authorities in South Korea arrested Terraform Labs’ head of business, Yoo Mo, in October, but Judge Hong dismissed the warrant in a similar manner within 48 hours, saying it was difficult to see the “necessity and significance” of the arrest. In contrast, Kwon was still the target of lawmakers and regulators, having his name added to Interpol’s Red Notice list and no longer holding a valid South Korean passport for international travel.
Kwon has continued to be active on social media following the collapse of Terra despite many crypto users directly blaming him for their loss of funds and the events surrounding the current bear market. In September, the Terra co-founder said he was “making zero effort to hide” from authorities. He subsequently spoke with the infamous hedge fund manager and pharmaceutical head Martin Shkreli on a Twitch podcast discussing FTX and life in prison.