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North Korea terrorism creditors move to seize Arbitrum-frozen Kelp DAO ETH ahead of DeFi United vote

The Block
Creditors seeking damages for North Korean terrorism have filed a restraining notice to seize ETH frozen by Arbitrum DAO following the Kelp DAO exploit.

Summary

A New York court has issued a restraining notice against Arbitrum DAO regarding 30,766 ETH frozen after the Kelp DAO exploit. The funds, linked by LayerZero to the North Korean Lazarus Group, are now being targeted by plaintiffs holding unpaid terrorism-related default judgments against the DPRK. These creditors argue that because the stolen assets are tied to a state sponsor of terrorism, they are eligible for seizure. This development complicates an ongoing Arbitrum DAO governance vote, which seeks to distribute the recovered ETH to the DeFi United relief fund to compensate victims of the original hack.

(Source:The Block)