The Federal Prosecutor Damian Williams said that this is an indicative case, which should be a severe edification for all participants in the cryptorrhist and show: the deception of investors will lead to inevitable legal consequences.
The prosecutor’s office claims that Alex Mashinsky deliberately distorted information about the financial results of the company’s activities, created the illusion of profitability. Which led to billions of losses for its investors after the bankruptcy of Celsius in 2022.
Alexander Mashinsky pleaded guilty in December 2024 for two accusations: in fraud with raw materials and manipulation at the cost of Cel token, belonging to Celsius. The trial, originally planned for April, was postponed for a month at the request of Masha’s lawyers to give protection more time to prepare.
The ex-director of the income of Roni Cohen-Pavon (Roni Cohen-Pavon), passing in the Celsius fraud, also pleaded guilty and agreed to cooperate with the investigation. It is expected that his verdict may be announced after the completion of the Mashinsky case, since, according to the prosecutor’s office, the information provided can affect the final verdict of the court.
Earlier, the Celsius Network cryptocreet platform appealed the court decision that devoted the requirement for the bankrupt cryptocurrency FTX to pay compensation $ 444 million.
Source: Bits
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