US Justice Department lawyers have more time to find out and provide the former CEO of Celsius Alex Mashinskydefense team time to review related documents.
In a July 25 order, U.S. District Judge John Koeltl said he would exclude the period between July 25 and Oct. 3 from calculations under the Speedy Trial Act, a law that requires federal criminal proceedings to begin within 70 days of an indictment. He cited the “volume of discovery” as well as the “complexity of the case” against Celsius’ former CEO.
“The court finds that the ends of justice in granting a continuance outweigh the best interests of the defendant and the public in a speedy trial,” Judge Koeltl said.
The law requires prosecutors to release largely any information “favorable to the accused” that is “relevant to guilt or punishment” to Mashinski’s legal team. The Oct. 3 conference puts Mashinsky in a New York courtroom just a day after the trial of the former FTX CEO began. Sam Bankman-Friedwho was charged in the same district.
Related: What the Criminal Charges Mean for the Crypto Industry for Celsi’s Ex-CEO
Celsius filed for Chapter 11 bankruptcy in July 2022, weeks after the platform announced it would suspend all withdrawals without providing a definitive timeline for their return. Mashinsky stepped down as CEO in September 2022.
US authorities charged and arrested Mashinsky on July 13 with securities, commodities and wire fraud charges related to allegedly defrauding and misleading customers about certain information about Celsius’ business practices. The former CEO of Celsius pleaded not guilty to all charges and was released on $40 million bail.
A judge has not yet set a trial date in the criminal case of Celsius’ former CEO. The fraud allegations emerged concurrently with a complaint filed by the Commodity Futures Trading Commission against Mashinsky. The Securities and Exchange Commission also filed its own civil suit against the former CEO, while the Federal Trade Commission announced that fined $4.7 billion July against Celsius.
Magazine: XRP Is Not a Security, Celsius CEO Arrested on Criminal Charges and More: Hodler’s Digest, 9-15 July