South Korea is leaving no opportunity uncharted to get to the bottom of the crash of Terra. The South Korean Ministry of Justice revealed the revival of the formerly inactive “Grim Reapers of Yeoui-do” investigative system.
The system, which was dissolved in 2020, is a joint monetary and securities criminal offense examination group from the Financial Services Commission (FSC) and the Financial Supervisory Service (FSS).
According to a report from regional news outlet SBS News, the very first case the system will manage is Terra’s fall. The examination is meant to check out the damages that the cost of Terra tokens, LUNA and UST, triggered to South Korean people.
” As the Luna and Terra case is a case of numerous damages to the typical individuals, it was designated as the very first examination case by the Hap Sudan after an internal evaluation by the Ministry of Justice,” a man informed the news outlet.
The Ministry of Justice has currently approximated that around 280,000 financiers were impacted. The short likewise declares that Terra’s pledge of 20% yearly returns to tempt in financiers was unlawful and totals up to being a Ponzi plan.
The Grim Reapers of Yeoui-do investigative system made its label for its precision and scientific technique. While it functioned between 2013 and 2020, the group made 346 arrests from 965 cases.
After examining Terra, the system is slated to resume its uncompleted examination into the $1.2 billion Lime Asset Management embezzlement scandal in 2020.
Terra’s legal problems increase regardless of a healing strategy
Meanwhile, the legal problems of the Co-founders of Terra, Do Kwon, and Shin Hyun-Seong, together with core members of the Terra group– the primary targets of the examination– are intensifying. Reports show that Do Kwon is now being confronted with tax evasion charges.
Similarly, numerous suits have been submitted by LUNA and UST financiers versus the business and Kwon both in South Korea and Singapore, where it has its head office. These have been despite the healing preparation that Do Kwon has proposed.
The intricate treatment proposed by Kwon consists of a split of the existing Terra blockchain into a brand-new chain. Payment will then be offered to holders of the existing token, omitting the Terraform Labs (TFL) and the Luna Foundation Guard (LFG).
This will make the brand-new Terra blockchain a neighborhood chain, Kwon specified. He likewise motivated designers and neighborhood members to support the proposition when LFG published the proposition for the ballot.