South Korean Prosecutors Investigate Do Kwon and TFL

South Korean investigators have revealed that a significant sum of around $8.6 million remains in the Sygnum Bank account of Terraform Labs (TFL) CEO Do Kwon, while the inquiry into his company is ongoing. Sygnum, a pioneering crypto bank, was established in Zurich, Switzerland, in 2017.

Previously, in mid-February, the U.S. Securities and Exchange Commission (SEC) had announced that Kwon transferred a large number of Bitcoins, estimated to be worth about $258 million, to a Swiss bank, which was later identified as Sygnum.

The head of a joint financial securities crime investigation team in South Korea recently revealed that they are keeping a close eye on the Bitcoin holdings of the Luna Foundation Guard (LFG).

Furthermore, it has been stated that a significant amount (roughly $100 million) had been cashed out and moved to the Sygnum account, as mentioned in the SEC complaint.

This update was provided during a press conference that took place after the indictment of several individuals without detention.

Officials explained that the large sum of money had been allocated for various purposes and was not entirely present in the Sygnum account.

Some of the funds were transferred to a law firm’s account as payment for legal services, leaving approximately $8.6 million in the account.

Investigative agencies from both South Korea and the U.S. have requested a freeze on the Sygnum account, but it remains to be seen whose appeal will be given priority.

The Swiss authorities and banks are obligated to present evidence before any decision can be reached. The investigators reaffirmed their commitment to promptly aiding the victims and emphasized the need for Kwon’s extradition to South Korea.