Binance BNB/USD founder and former CEO Changpeng Zhao has been denied travel permission by a U.S. judge for the second time, ahead of his sentencing in February 2024 for banking law violations.
What Happened: U.S. District Judge Richard A. Jones refused Zhao’s plea to travel while he’s out on bail, reported Bloomberg. Details of his planned trip and reasons for it were submitted confidentially to the court.
Just three weeks prior, Judge Jones had reversed an earlier decision allowing Zhao to return to the United Arab Emirates before his sentencing in February.
Federal prosecutors objected to this bail condition due to Zhao’s significant wealth and his plans to return to a country that does not have an extradition treaty with the U.S.
Zhao had willingly come to the U.S. to respond to the charges. Both Zhao and his firm confessed to not maintaining an effective anti-money laundering program at Binance and agreed to pay a total of $4.35 billion in penalties.
This case, US v. Zhao, 23-cr-00179, is currently being heard in the US District Court, Western District of Washington (Seattle).
Why It Matters: This development follows a series of events that began in November when Binance and Zhao pleaded guilty to federal charges and agreed to a $4.3 billion settlement.
In the wake of these charges, Zhao resigned as CEO and was fined $50 million.
The charges did not involve any misappropriation of user funds or market manipulation by Binance.
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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