Jump Trading highlighted moving the class action lawsuit against the company from Illinois to California’s Northern District Court would considerably speed up the judicial process.
Jump Trading Seeks to Take Terra Case to California
The plaintiff, Taewoo Kim, is a resident of New Jersey, and the defendants claimed in the most recent petition, which was submitted on June 9, that the choice to file the lawsuit in Illinois was an “effort at forum shopping” given that Taewoo Kim is being represented by law firms from New York and California. Forum shopping refers to the practice of choosing courts or jurisdictions with apparently the most advantageous laws or regulations that support the plaintiff’s cause.
There is no legally compelling connection to Illinois, and nearly all of the relevant witnesses and documents either are located outside Illinois or are just as easily accessed elsewhere,
The Court Doc
What is the Case About?
Taewoo Kim first filed the case on May 9 on his own behalf and on behalf of other people harmed by the Terra/Luna ecosystem collapse. Kim is represented by Robbins Geller Rudman & Dowd LLP and Selendy Gay.
Jump’s CEO, Kanav Kariya, and Jump Trading, it is claimed in the complaint, engaged in a price-fixing manipulation scam involving the well-known TerraUSD stablecoin that brought in $1.3 billion for the company. Cointelegraph posted a series of tweets about this manipulation on its Twitter account.
The Relationship between Jump Trading and Terra
According to the complaint, Jump was a founding partner and major financial backer of Terraform Laboratories. Between November 2019 and September 2020, Jump entered into several agreements with Terraform and its affiliates to borrow tens of millions of LUNA tokens from Terra and provide market-making services for transactions in LUNA, UST, and aUST.
In May 2022, the TerraUSD/LUNA Project Died
Millions of dollars were lost from the market when the TerraUSD/LUNA project failed in May 2022. Do Kwon, the founder of the initiative, was detained in March in Montenegro on suspicion of using forged travel documents. He could be sentenced to prison in both South Korea and the United States. Twitter user FatManTerra tweeted a news story about Do Kwon’s case.
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