Prosecutors reveal Do Kwon’s lawyers received $7M before Terra’s implosion

South Korean prosecutors have discovered a payment worth $7 million to Kim & Chang, the legal representatives of Terraform Labs founder Do Kwon.

The lump sum was paid weeks before the eventual collapse of the project, which investigators say could serve as proof that company executives anticipated the implosion. Officials believe the funds were an advanced payment to the law firm ahead of a long-running legal battle with creditors and investigators.

“The fact that they sent a large sum of money to a large law firm before the crash should be seen as a situation in which they were prepared for judicial risks such as the prosecution’s investigation,” said one official from the Prosecutor’s Office.