The U.S. Attorney for the Southern District of New York is seeking a seven-year sentence for an executive

Key Highlights :

1. United States prosecutors are seeking a long sentence for an executive in a crypto shadow banking case.2. The case has dragged on for five years.3. The request for a sentence is pending the sentencing of Reginald Fowler, which is scheduled for April 20.4. Fowler is accused of operating an unlicensed money transmitting business and deceiving financial institutions.5. Between February and October 2018, Fowler and his company, Crypto Capital, processed approximately $750 million in cryptocurrency transactions.6. Ivan Manuel Molina Lee, the head of Crypto Capital, was arrested in 2019 on suspicion of money laundering and being involved in a Columbian drug cartel.7. Crypto Capital was a key player in the court case regarding Bitfinex’s failure to disclose the loss of $850 million in customer funds.8. In 2020, Fowler pleaded not guilty to all charges and was released on $5 million bail.9. In April 2022, Fowler changed his plea to guilty.10. As Fowler’s sentencing approaches, United States prosecutors are requesting a long sentence.

     If convicted on April 20, Reginald Fowler could face at least seven years in jail. Fowler, the former president and CEO of the now-defunct Reginald F. Fowler Associates, is charged with one count of wire fraud and one count of conspiracy to commit wire fraud. Prosecutors allege that Fowler and his associates defrauded their clients, including the State of Maryland, of millions of dollars. If convicted, Fowler could face up to 30 years in prison.

     According to prosecutors, Fowler and his associates submitted false invoices to the State of Maryland, claiming that the company had completed work on a project that had actually not been completed. The State of Maryland paid Fowler and his associates millions of dollars for work that was never completed, prosecutors allege.

     If convicted, Fowler could face up to 30 years in prison.

Continue Reading at Source : cointelegraph