Do Kwon is required to notify authorities should he enter South Korea.
Investigators served the request as Kwon is believed to be in Singapore.
Departure bans were also served to several top-ranking Terra executives and managers like Shin Hyun-Seong, the co-founder of Terraform Labs.
The move comes after prosecutors raided the offices of seven exchanges and seized transaction records connected to the ongoing Terra investigation.
Several complaints were lodged against Kwon and his company after the $40 billion collapse of LUNA Classic (formerly LUNA) and TerraUSD (UST).
Do Kwon, billionaire CEO of Terraform Labs, remains on the minds of South Korean prosecutors as investigations into the collapse of Terra’s tokens intensify following several complaints and fraud allegations from investors.
Local news house Donga reported that the Seoul Southern District Prosecutors’ Joint Financial and Securities Crime Investigation Team asked the Ministry of Justice to make a notification of entry mandatory for Do Kwon.
The team which is currently investigating fraud allegations surrounding Kwon, Terraform employees, and Terra tokens, believe that the CEO is currently in Singapore. Reports also claim that Terraform Labs CEO has been in and out of South Korea in recent weeks.
Prosecutors kicked off their probe following Terra’s drawback in the crypto market. The incident shaved off around $40 billion from investors’ pockets and arguably shook the broader cryptocurrency market.
As part of the investigation, prosecutors also issued a ban to prohibit key TFL figures like co-founder Shin Hyun-Seong from leaving the country. The travel ban extends to other Terra executives and officials, per Donga’s report.
Terra developers were previously banned from leaving South Korea as well.
Seven Exchanges Raided As Probe Into Do Kwon’s Company Escalate
The travel bans and notification of entry issued by South Korean prosecutors come as the latest efforts in ongoing investigations into Do Kwon and Terraform Labs. EthereumWorldNews reported that authorities raided seven exchanges and seized transaction records from their offices.
Prosecutors also searched the residence of Shin Hyun-Seong as well, per reports.