PODGORICA, Montenegro — Police in Montenegro have taken into custody Terraform Labs founder Do Kwon, who is wanted in South Korea in connection with a $40 billion collapse of the firm’s digital currency that financially impacted retail investors throughout the world, the European country’s interior minister announced Thursday.

“Montenegrin police arrested an individual who is believed to be one of the most sought after fugitives, South Korean citizen Do Kwon,” Interior Minister Filip Adzic posted on Twitter.

Montenegrin authorities were awaiting official verification of the identity of a man who was apprehended at the airport in the capital, Podgorica, under false documents, but they think it’s Kwon, Adzic added.

South Korea asked Interpol in September to circulate a “red notice” for the 31-year-old across the agency’s 195 member nations to identify and apprehend him.

Kwon and five others related to Terraform are wanted because of allegations of fraud and financial crimes concerning the implosion of its cryptocurrencies in May 2022.

TerraUSD was designed as a “stablecoin,” which are pegged to stable assets like the U.S. dollar to prevent drastic price variations. Nevertheless, around $40 billion in market value was wiped out for the holders of TerraUSD and its floating sister currency, Luna, after the stablecoin plunged far below its $1 peg in May.