The South Korean prosecutor’s office has revealed that TerraForm Labs (TFL) had illegally acquired 414.5 billion KRW (~$314.2 million), including 91.4 billion KRW (~$69 million) belonging to its founder, Do Kwon, which was reported by KBS News.
The CEO of the company had directed some of the funds to Binance. In response to this, the investigators have requested the platform to suspend the withdrawal of funds related to TFL.
The representatives of the exchange have informed they are working together with the prosecutor’s office. Since it was difficult to track the funds due to the conversion of LUNA to Bitcoin and the utilization of foreign platforms, the SEC lawsuit against TFL and Do Kwon mentioned that the defendants had transferred “more than 10,000 BTC from Terraform and Luna Foundation Guard accounts to a cold wallet.”
The co-founder and the company had also “periodically” sent these funds to a financial institution based in Switzerland and converted them into cash, resulting in the withdrawal of over $100 million in fiat.
