- New York prosecutors have also begun their investigation.
- These departments usually deal with high-profile cases
The Federal Bureau of Investigation and the Attorney’s Office for the Southern District of New York (SDNY) questioned former employees of Terraform Labs. About it writes Wall Street Journal, citing anonymous sources.
American detectives are investigating the links between the Terra blockchain and the South Korean payment app Chai. This echoes the accusations of the US Securities and Exchange Commission (SEC). Previously, they claimed that Terraform deceived investors by saying that the Chai application used the Terra blockchain to process payments in order to increase the value of the Luna cryptocurrency.
Both the FBI and the SDNY are part of the US Department of Justice. Often, these agencies take the lead in high-profile litigation financial crimes.
Singapore police joined the Terraform Labs investigation last week. Terraform Labs was headquartered and staffed in this city-state.
South Korean prosecutors have been investigating since May last year. They interrogate former Terraform employees and try to find out the whereabouts of the former head of the company. According to rumors, the unfortunate businessman is hiding in Serbia. There have already been policemen from South Korea.
Kwon denies all allegations of fraud and calls them politically motivated. The Terraform Labs cryptocurrency project collapsed in May last year after the UST stablecoin was unpegged to the dollar and the Luna token was devalued.