September 23, 2023

US Attorney's Office: Crypto Capital Processing Manager Admits Partially Guilty

Arizona resident Reginald Fowler accused of providing shadow banking services to bitcoin exchanges admits guilty of a number of charges during the trial next month, reports CoinDesk, citing a letter from the assistant prosecutors for the Southern District of New York, Jeffrey Berman.

Judge Andrew Carter adjourned the hearing on January 10th.

Panamanian Crypto Processing Account FreezeCapital in several countries forced the Bitfinex exchange to take a loan from the Tether stablecoin issuer, since the site could not and cannot get access to more than $ 800 million. For Bitfinex, this resulted in a high-profile lawsuit against the New York State Attorney General.

Along with Fowler, bank fraud charges were brought against his accomplices Ravid Jozef and her brother Oz Jozef (both Israeli citizens).

In October, President of Crypto Capital Ivan Manuel Molina Lee was arrested in Poland. He was charged with money laundering of Colombian drug cartels through Bitfinex.

Bitfinex itself considers itself a victim and is stilltrying to regain access to frozen funds in the Polish bank Spółdzielczy. The platform rejects all charges by the New York City Attorney General and believes that the agency has no jurisdiction over Bitfinex and Tether.

Recall that earlier the court in the USA grantedBitfinex application for the right to receive testimony from the former vice president of TCA Bancorp, Rondell Clyde Monroe. In theory, this could help Bitfinex recover at least part of $ 880 million.