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Do Kwon speaks out about the accusation that Terraform Labs evaded taxes in Korea

In a rare appearance on Twitter since the incident, CEO Terraform Labs gave his statement about the tax evasion allegations.

Previously, the Financial Services Commission and the Financial Supervisory Authority – the two leading financial regulators in Korea, have re-established the “Death” task force to investigate how Terraform Labs attracts investors. Terraform Labs also faces a large fine for allegedly evading taxes up to 100 billion won ($78 million).

The investigation will focus on whether Terraform Labs knowingly evaded taxes through the issuance of cryptocurrencies by a company established abroad, as well as looking into whether Anchor Protocol, Terra’s lending protocol with interest UST 20%/year, is it a ponzi scheme or not.

When asked on Twitter by FatMan, an anonymous Terra analyst and commentator, about the accuracy of the reports, Kwon replied:

We have no outstanding tax debt in South Korea and added that the company paid the fees in full after facing a tax audit.”

It feels very normal for me to participate in any lawsuit or legal investigation to the best of our ability – we have nothing to hide,” Kwon added.

Besides his comment on the company’s tax status, Kwon added that his exact location is in Singapore, as of last December.