Prosecutors from the US Department of Justice have filed a petition with the court, asking to detain former Binance CEO Changpeng Zhao (CZ) in the US alternatively of currently being permitted to return to the UAE.
Second ReutersProsecutors from the US Department of Justice have filed a petition in Seattle court, asking that Binance founder Changpeng Zhao (CZ) proceed to be detained in US territory right up until his sentencing.
U.S. advocates pressured a federal judge on Wednesday to need Binance founder and former CEO CZ to stay in the United States ahead of a sentencing hearing on February 23, 2024, in accordance to Reuters.
A spokesperson for the US Department of Justice explained that CZ is at present expected…
— Wu Blockchain (@WuBlockchain) November 23, 2023
Previously, as reported by Coinlive, Mr. Zhao flew from his recent residence in Dubai (United Arab Emirates) to the United States on November 22 to straight plead guilty in court in Seattle as element of the settlement agreement with the Department of Justice of the United States, collectively with Binance paid a fine of $four.three billion. Mr. Zhao also stepped down as CEO of Binance, replaced by Richard Teng.
The founder of the world’s biggest cryptocurrency exchange has admitted failing to enforce sufficient management measures, primary to dollars laundering by way of his platform. Mr. Changpeng Zhao faces an 18-month prison sentence. The Seattle court set a verdict date of February 23, 2024.
Furthermore, Mr. Zhao was banned from holding management positions at Binance for three many years, paid a fine of $50 million, and was not permitted to communicate to the media about the contents of the agreement with the United States. However, he is nevertheless permitted to continue to keep his shares of Binance, continuing to be the vast majority shareholder of the exchange.
The former Binance CEO then requested bail with a collateral worth of up to $175 million. Mr. Zhao requested that, pending the verdict, he be permitted to return to the United Arab Emirates to reunite with his household, pledging to return to the United States to shell out the fine when the court delivers a verdict.
The judge is anticipated to make a choice on CZ’s bail request on November 27 (US time).
CZ out on $175 million bond pic.twitter.com/UL80rNlfQR
— db (@level10k) November 21, 2023
On the morning of November 23, prosecutors from the US Department of Justice filed a petition with the court, asking that the Binance founder’s bail request be rejected. As a consequence, US officials want CZ to proceed to stay in the nation although awaiting sentencing, but they do not plainly state why. Many speculate that prosecutors are concerned that CZ may well not return to the United States mainly because the UAE does not have an extradition treaty with the United States.
This information and facts is surprising mainly because a spokesperson for the US Department of Justice confirmed it Reuters that Mr. Changpeng Zhao will only have to remain in the United States right up until November 27, when his bail application is authorized, and then return to the United Arab Emirates.
The former Binance CEO also sent a resignation message to the cryptocurrency local community and inner workers on November 22, admitting his responsibilities and saying it was time to rest.
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