US DOJ seeks 36-month sentence and $50 million fine for ex-Binance CEO Changpeng Zhao

US DOJ seeks 36-month sentence and $50 million fine for ex-Binance CEO Changpeng Zhao
фото показано с : cryptoslate.com

2024-4-24 11:59

The US Department of Justice has recommended a 36-month prison sentence alongside a $50 million fine for the former CEO of Binance, Changpeng Zhao.

In response, Zhao’s legal team contends that his incarceration would be unprecedented, citing no prior instances of imprisonment in similar cases. Instead, they proposed an alternative of probation, potentially with home confinement at his residence in Abu Dhabi.

Zhao is currently free on bail in the United States, and his sentencing is slated for April 30.

Why does the DOJ want 36 months for Zhao?

Zhao initially faced a potential 18-month prison term as per his plea deal. However, the DOJ contended in its April 23 filing that the extent of Zhao’s wrongdoing was significant, warranting a harsher penalty.

The authorities emphasized that Zhao and Binance deliberately targeted US users as part of their expansion strategy while disregarding local regulations. The prosecutors asserted that Zhao’s actions were intentional, driven by a calculated business decision to flout US laws in pursuit of growth and personal gain.

Furthermore, the DOJ highlighted Zhao’s negligence in implementing adequate anti-money laundering measures on the Binance platform, enabling illicit funds to flow unchecked.

DOJ argued:

“[Zhao] chose not to comply with fundamental U.S. anti-money-laundering (AML) requirements; he chose not to implement and maintain an effective know-your-customer (KYC) system, which prevented effective transaction monitoring and allowed suspicious and criminal users to transact through Binance.”

Consequently, the DOJ argued that his sentencing should be used to send a message to the world and deter others from building “fortunes and business empires by breaking US laws.”

“A three-year custodial sentence, together with the agreed $50 million fine, would achieve specific and general deterrence,” DOJ concluded.

Zhao’s response

Zhao’s lawyers claimed the embattled founder “deeply regrets his offense, and he has shown exceptional acceptance of responsibility and remediation.”

The lawyers noted:

“[Zhao] is a first-time, non-violent offender who committed an offense with no intention to harm anyone. He presents no risk of recidivism. He has appeared in this country voluntarily to accept responsibility.”

Due to this, the legal team urged the court to sentence him to probation in line with precedent.

The post US DOJ seeks 36-month sentence and $50 million fine for ex-Binance CEO Changpeng Zhao appeared first on CryptoSlate.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

Ceocoin (CEO) на Currencies.ru

$ 0.00304614 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $0 - H: $0
Капитализация $0 Rank 99999
Доступно / Всего 0 CEO

zhao ceo changpeng fine 36-month sentence million

zhao ceo → Результатов: 126


US Judge Approves Binance’s $4.3 Billion Plea Agreement – Details

According to the latest report, Binance Holdings Ltd. will pay one of the largest corporate penalties in United States history after a judge approved the company’s plea agreement. This comes months after the cryptocurrency exchange and its former CEO and founder Changpeng Zhao pleaded guilty to anti-money laundering infringements, bringing a close to a long-term […]

2024-2-24 12:23


TrueUSD Faces Depegging Amidst Controversies and Market Activity

In a surprising turn of events, the stability of TrueUSD (TUSD) experienced a significant dip, dropping to $0.995. This decline was triggered by several factors, including the resignation of Binance’s former CEO, Changpeng Zhao (CZ), and contentious statements suggesting that terrorists prefer Justin Sun’s Tron over Bitcoin for funding activities. […]

2023-12-2 14:31


Overlooked Binance Coin’s Rally? This New Cryptocurrency Could Be Your Path to Wealth!

TLDR The co-founder of Binance, Changpeng Zhao, has announced to step down as the CEO after money laundering allegations. With the departure of CZ, BNB’s recent price rally came to an end. In case you have missed the BNB rally, a new meme coin has emerged as the best ICO, with predictions for a stunning […] The post Overlooked Binance Coin’s Rally? This New Cryptocurrency Could Be Your Path to Wealth! appeared first on CaptainAltcoin.

2023-12-1 20:00


Status Quo At Binance: New CEO Affirms No Changes To Top Executives

The crypto exchange has undergone a significant leadership transition in the aftermath of Binance Holdings’ $4.3 billion settlement with the US Department of Justice (DOJ).  According to Bloomberg, Richard Teng, the newly appointed CEO following co-founder Changpeng “CZ” Zhao’s departure, has expressed his commitment to maintaining the stability of the core team.  Binance’s Core Team […]

2023-11-30 06:00