Key takeaways:
- An injunction from a federal judge will still prevent former Binance CEO Changpeng Zhao “CZ” from leaving the country prior to his sentencing hearing.
- The court sealed the second motion’s reasons; they were not publicly available, but CZ’s legal team indicated that it concerned CZ’s child’s medical records.
An injunction from a federal judge will still prevent former Binance CEO Changpeng Zhao “CZ” from leaving the country prior to his sentencing hearing.
During a hearing in the US District Court for the Western District of Washington in Seattle on December 29, Judge Richard Jones dismissed a motion from CZ asking for authorization to go abroad.
Because the court sealed the second motion’s reasons, they were not publicly available, but CZ’s legal team indicated that it concerned CZ’s child’s medical records.
On December 7, in response to a motion seeking authorization to leave the country, Judge Jones issued an order compelling Zhao to stay in the United States. If permitted to travel to his family’s residence in Dubai, the judge indicated that CZ might pose a flight risk.
As part of a $4.3 billion agreement between US authorities, the former CEO of Binance, and CZ, the latter entered a guilty plea to one count of felonies. At his sentencing in February, he could spend a maximum of 18 months behind bars.
The order states that CZ will be free to travel outside of the United States but will remain free on a $175 million bail. Alex Mashinsky, the former CEO of Celsius, was released on a $40 million bond after being detained in July on suspicion of deceiving and defrauding users.
Sam Bankman-Fried, the former CEO of FTX, was first permitted to stay in his parents’ California house after his extradition to the US in 2022. But after accusations of witness intimidation, a judge remanded him.
US prosecutors said on December 30 that Sam Bankman-Fried might not go to trial again. The ruling comes after Bankman-Fried was found guilty on seven counts, including wire fraud, securities fraud, and money laundering, in connection with the demise of FTX. According to reports, prosecutors stressed the “strong public interest” in finishing the case as soon as possible.
