The United States Securities and Exchange Commission (SEC) has moved to request billions of dollars in disgorgement and civil penalties from Do Kwon and Terraform Labs, the team behind the ill-fated Terra Luna and UST tokens. In a recent filing in the U.S. District Court for the Southern District of New York, the SEC sought […]
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- SEC demands over $5B from Terraform Labs and Do Kwon for defrauding investors.
- A jury previously found them liable for misleading statements about Luna and UST.
- Terraform suggested a maximum civil penalty of $5.28 million, while Kwon proposed $828,000.
The United States Securities and Exchange Commission (SEC) has moved to request billions of dollars in disgorgement and civil penalties from Do Kwon and Terraform Labs, the team behind the ill-fated Terra Luna and UST tokens.
In a recent filing in the U.S. District Court for the Southern District of New York, the SEC sought approximately $4.7 billion in disgorgement and prejudgment interest from Terraform Labs and its co-founder, Do Kwon.
Alongside the $4.7 billion for disgorgement and prejudgment, the U.S. regulator requested a total of $520 million in civil penalties. In particular, Terraform Labs is asked to pay $420 million, while Kwon faces a $100 million penalty. Cumulatively, the U.S. regulator is requesting over $5 billion in penalties from Do Kwon and Terraform Labs.
Notably, on April 5, a jury found Terraform and Kwon guilty of defrauding investors concerning statements regarding the offer and s…
The post Do Kwon, Terraform Labs Face $5B Penalty After LUNA Fiasco appeared first on Coin Edition.
