The lawsuit against the management of BitMEX cryptocurrency exchange for money laundering has been set, 18 months after the charges were first announced.
BitMEX set to face money laundering charges on March 28, 2022
The court decided on the date, March 28, 2022, for the proceedings against the former management of the crypto derivatives platform. The former head of BitMEX Arthur Hayes, co-founder of the exchange Benjamin Delo and technical director Samuel Reed are accused of violating several laws at once.
Recall that in early October 2020, the US Department of Justice opened criminal cases against the former management of BitMEX. Then the reason for the proceedings was the illegal management of the derivatives exchange.
The ex-BitMEX executives have not registered the company with the US Commodity Futures Trading Commission (CFTC). Later, the regulator filed a civil lawsuit that cost the crypto exchange over 50,000 BTC. Moreover, the prosecutor’s office of the Ministry of Justice accused the former management of the exchange of failing to implement ML/FT procedures.
BitMEX founders face up to five years in prison
According to the indictment, Hayes chose Seychelles due to a friendlier jurisdiction. For example, Hayes argued that bribery of local authorities was cheaper than in the United States. It is noteworthy that Hayes himself has already surrendered to the US authorities.
AtoZ Markets reported that Hayes reached an agreement with the investigation, within which he surrendered to the US authorities in early April. It is assumed that Hayes now lives in Singapore on bail of $10 million but is obliged to return to the states at the first request of the court in New York.
Any defense motions are expected to be filed in June. If found guilty, the former BitMEX executives face up to five years in prison and a fine of $250,000.
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