Samourai Wallet Co-Founder Pleads Not Guilty to Money Laundering Charges
Summary:
Keonne Rodriguez, associated with cryptocurrency mixer Samourai Wallet, charged with money laundering by the US Justice Department, pleads not guilty and is released on bail. His travel is restricted and he is forbidden from engaging in any cryptocurrency transactions. William Hill, CTO of Samourai Wallet, remains in custody pending extradition from Portugal. Possible penalties for the accused could be up to 20 years imprisonment. Authorities have seized control of Samourai Wallet's servers.
Keonne Rodriguez, linked with the cryptocurrency mixer Samourai Wallet and recently charged with money laundering by the US Justice Department, declared his innocence in court. During his April 29 showing in the U.S. District Court for the Southern District of New York, Rodriguez emphatically rejected allegations of running an illicit money-transmitting business and money laundering. A million-dollar bond agreement was reached by assistant U.S. Attorneys for the co-creator of Samourai Wallet, confining Rodriguez’s movements to specified areas in New York and Pennsylvania except while under home detention. As per PACER, Rodriguez has to live in Harmony, Pennsylvania for the most part, and would be under GPS tracking. Along with that, his bail conditions forbid him from offering his services to Samourai Wallet or executing any cryptocurrency transactions without prior consent.
On the same day as Rodriguez, William Hill who is the CTO of Samourai Wallet, was apprehended. However, he is yet to make a court appearance in the US, presumably due to his arrest taking place in Portugal and the ongoing extradition deliberations. Rodriguez is due for another court appearance on May 14.
Both individuals could potentially serve up to 20 and 5 years in prison respectively for charges of money laundering and conspiracy to operate an illicit money-transmitting business. Control over Samourai Wallet's servers and domain in Iceland has been claimed already by authorities.
This situation is the latest in a series of government clampdowns against cryptocurrency mixers in the US, accusing these technologies of enabling money laundering activities by hacking groups and terrorists. Despite considerable opposition from influential industry figures and policymakers, the US Treasury Department’s Office of Foreign Asset Control proceeded to impose sanctions on Blender and Tornado Cash.
Published At
4/30/2024 12:49:23 AM
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