Justice Delayed: Former Celsius CEO Mashinsky's Trial Postponed
Trial against former Celsius CEO, Alex Mashinsky, delayed due to complexity; Celsius faces $4.7B fine.
U.S. Department of Justice lawyers have been given more time to prepare for the case against former Celsius CEO, Alex Mashinsky. The trial is complex, so the judge has delayed it from July 25 to October 3.
The judge said the delay will serve justice better than rushing the trial. This delay allows the prosecutors to disclose important information to Mashinsky’s lawyers that can help his defense.
Alex Mashinsky will appear in a New York courtroom on October 3. His court appearance is one day after the trial starts for former FTX CEO Sam Bankman-Fried, who is charged with similar crimes.
Celsius, the company Mashinsky once led, declared bankruptcy in July 2022. Mashinsky resigned as CEO in September 2022, after Celsius stopped all customer withdrawals without saying when they would resume.
Mashinsky was arrested on July 13 and charged with securities fraud, commodities fraud, and wire fraud. These charges relate to him allegedly cheating customers and misleading them about Celsius' business activities. He pleaded not guilty to all charges and was released on a $40 million bond.
The date for Mashinsky’s trial has not been set yet. Alongside the fraud charges, the Commodity Futures Trading Commission has also filed a complaint against him.The Securities and Exchange Commission has filed a lawsuit against him too, and the Federal Trade Commission has fined Celsius $4.7 billion.
Reported by Coinpaprika News
