Legal professionals representing Alex Mashinsky, the previous CEO of the crypto platform Celsius dealing with a felony indictment in the US, have misplaced a movement to drop two costs associated to commodities fraud and manipulating the value of the Celsius (CEL) token.
In a Nov. 8 submitting within the US District Courtroom for the Southern District of New York, Decide John Koeltl dominated that Mashinsky’s authorized staff’s arguments to have the fees dismissed have been “both moot or with out benefit.” The choose denied the movement to dismiss the 2 costs, leaving seven counts on the indictment for the previous Celsius CEO’s trial, scheduled to start in January 2025.
Supply: SDNY
The previous Celsius CEO’s attorneys claimed that the securities and commodities fraud costs have been inconsistent, as prosecutors alleged the platform’s Earn Program was handled as a safety whereas the Bitcoin (BTC) deposited by buyers have been commodities. Mashinsky additionally claimed that he lacked “honest warning” that allegedly manipulating the value of CEL was a felony cost.
The movement to dismiss the 2 costs filed in January included a request for Decide Koeltl to not enable info on Celsius’ chapter to be included within the felony case. The choose declined to determine on the movement on Nov. 8, suggesting he would reply to motions in limine or at trial.
Questions on FTX for jurors
Following the Nov. 8 order, Mashinsky’s attorneys additionally requested they be allowed to ask potential jurors questions on their information of the defunct cryptocurrency trade FTX. In line with the authorized staff, there’ll “undoubtedly” be testimony about FTX at trial, and the trade was “poisonous within the cryptocurrency world.”
Associated: Celsius token surges 300% a month after $2.5B fee to collectors
Authorities arrested and charged Mashinsky with seven felony counts in July 2023. He pleaded not responsible and has been free to journey with restrictions on a $40-million bond.
Former Celsius chief income officer Roni Cohen-Pavon, indicted alongside Mashinsky, additionally faces costs for “illicitly” manipulating the CEL value. Cohen-Pavon initially pleaded not responsible however later modified his plea to responsible. He’s scheduled to be sentenced on Dec. 11.
