Monday, November 4, 2024
Sunday, November 3, 2024
Saturday, November 2, 2024
Tornado Cash Roman Storm Trial Now April 14 2025 Amid Bid to Link 3500 Advice of Counsel
by Matthew Russell Lee, Patreon Book Substack
SDNY COURTHOUSE, Nov 1 – Roman Storm is charged using his cryptocurrency mixed Tornado Cash to help launder money for North Korea's hackers in the Lazarus Group.
On September 6, 2023 he was arraigned before U.S. District Court for the Southern District of New York Judge Katherine Polk Failla. Inner City Press was there - thread:
Cash helped North Korea's hackers Lazarus Group...There will be discovery from GitHub
On December 5, Judge Failla docketed the trial schedule: "SCHEDULING ORDER as to Roman Storm, Roman Semenov. It is hereby ORDERED that the following trial schedule will be in effect: Trial will be set to begin on September 23, 2024, at 9:00 a.m." Full scheduling order on Patreon here
On March 29, 2024, Storm through counsel submitted motions to suppress and to compel discovery, including into MLATs with The Netherlands, and FinCEN and OFAC communications. Memo/motion on Patreon here
On July 5, a court holiday, Storm's lawyer filed an opposed request for a delay into 2025 of the trial: "We write on behalf of our client Roman Storm to respectfully request that the Court grant a continuance of the trial date from September 23, 2024 to late January or February 2025." Letter on Patreon here.
The US on July 9 filed opposition - just as in the Samouri Wallet case a letter from Senator Lummis and Wyden that cites theTornado Cash case, letter now on Patreon, with Samouri story, here.
On July 12, Judge Failla did delay the trial, but not as far as Storm requested: "trial in this matter is scheduled to begin on 12/2/2024 at 9:00 a.m."
On September 26, Judge Failla denied Storm's motions, from the thread:
SDNY Judge Failla is about to start reading out (long) decision on motions to compel and dismiss. Spoiler alert: she is denying both. Judge: The pre-trial discovery is government by Rule 16...
Brady did not create a Constitutional right to discovery. Mr. Storm's request are too speculative, saying "may," "may" and "may." He does not connect the dots.
Judge Failla continues: I reject the void for vagueness argument... Courts should be cautious when assessing vagueness arguments. Consider US v. Howtar (sp)
Judge Failla: Mr. Storm was arguing that that statutory definition of financial transaction is vague. I reject that. The court finds that the statute gave Mr. Storm adequate notice. He marketed Tornado Cash as a way to conceal, he had notice is was illegal
Judge Failla: So, the motions are denied. I think that is all I need to do today. We have a trial date
On October 10, a hearing Inner City Press covered, from the thread:
oral argument on prosecutors' motion to compel pre-trial disclosuresJudge Katherine Failla: When will the government be producing 3500 material? Assistant US Attorney Nathan Rehn: We have been trying to reach a global agreement on pre-trial disclosures. Judge: Is there a world in which you would not disclose until after testimony?
AUSA: We would hope not- Judge: Mr. Rehn, we're here because you haven't worked that out. It is possible I could propose a schedule for 3500 production? AUSA: There is precedent that the government cannot be ordered to go faster than the statute Judge: I know that
Roman Storm's lawyer: If they delay on the 3500 material, we'll want more time to make advice of counsel disclosure. Judge: I am uncoupling those two issues. Before ruling, I spoke with other SDNY Judges including, about the Eisenberg trial, with Judge Subramanian
Judge: I have considered Judge Kaplan's ruling on Bankman-Fried... Last minute tricks, at least they didn't for Bankman-Fried. We'll do Daubert hearings in November in the same week as the final pre-trial conference. We are adjourned.
On November 1, Inner City Press covered the proceeding and first reported the new trial date: April 14, 2024, here. Then: "proceedings held before Judge Katherine Polk Failla: Telephone Conference as to Roman Storm held on 11/1/2024. Defendant Roman Storm present... Trial in this matter is adjourned to 4/14/2025
The case is US v. Storm, et al., 23-cr-430 (Failla)
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
In Corrupt UN of Guterres Fraud and Sexual Harassment Rife Amid His Officials Bans Press
by Matthew Russell Lee, Patreon Book Substack
UN GATE, Nov 2 – How corrupt has the UN become under SG Antonio Guterres? He has banned Inner City Press, but whistleblowing staff continue to send it details of the rot. First in a series:
Dear Matthew Russell Lee, We would like to share this email full of corrupt practices inside the UN. Please so not disclose our email address [Of course not - keep it coming]
Mr. SG We would like to give you an update summarizing the disasters that have been happening during the long tenure of USG Khare and Ms. Van Den Berg in DOS. We believe the below summary is significant to understand the current situations we are going through in most of the Missions: Starting from the DMS and CMS, past and current ones:
Elija Karambizi, D1, left the UN, from day to night, as he was caught abusing the Education Grant.
Milan Trojanovic, D2, left because of his involvement in harassment and shady business involving the UN with his wife’s company; and the continuous harassment and racism towards African Colleagues.
Sandi Arnold, D1, CMS in Kosovo was dismissed without UN benefit for fraud and several harassments, including sexual harassment.
Rick Martin, D2, DOS Special Project was dismissed without UN benefit for harassment including sexual harassment.
Robert Kirkwood, D1, CMS UNISFA, suspended together with the SRSG for fraud with the Contractors, and then opted for early retirement. He is due to to be replaced by Ms. Uchenna Odenigbo, former CMS in UNITAMS, who herself is under investigation for financial fraud in Sudan. Ms Odenigbo is currently CMS in UNSMIL where she is harassing Staff and recruiting others to questionable positions using her influence. Chief SCM Mr. Louay Mostafa is not in the Country being PNG for falsification of documents and under investigation for harassment
Part 1 of X - no answers from Spox Stephane Dujarric and Melissa Fleming
Keep it coming.
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
As UNSG Guterres Again Hands OCHA to UK Interim Reign of Terror of Msuya Detailed
UN GATE, Nov 2 – How corrupt is the UN under Guterres? After delay, on October 9 he doled out the UN's humanitarian post once again to the UK, to Tom Fletcher. The last ERC refused to file even basic financial disclosure. Will this one?
Now this, to Inner City Press from OCHA whistleblowers: "Dear Mr Matthew Russell Lee You should look into the ongoing terror in OCHA. The ASG Joyce Msuya currently OIC has been creating terror since she arrived but now as OIC she has unleashed her abusive behavior. She is firing innocent people just because she sees them as not 'loyal' to her. Senior Management have been fired in New York including in the past two months. She mentally abuses staff, with rates of mental health skyrocketing in OCHA in the past two years.
She uses UN resources to campaign for her next job. Look into her five week African tour of southern Africa where staff had to take mental health leave after the ASG left because of her abusive behavior, to non OCHA relevant countries and recent visits to her old university on UN funds.
The ASG is protected by the top and unless someone exposes how bad things are, nothing will change. She uses other women to create and keep up her terror who are equally abusive. Check these women is also terrorizing people on the ASGs behalf. Edem the operations direct is a perfect example of someone implementing her abusive regime. Staff are made to sign documents saying they will not go to the tribunal when they lose their job, they encourage staff in their offices to report lies about them so that these women can use it to get rid of staff and to make false reports to investigators.
I am terrified and will be deleting this account now, since I am fearful of also being fired since she is so protected and can rein unchecked. Every senior manager knows including the former USG who encouraged staff to make complaints but did nothing about the behavior himself."
No answer from Spox Stephane Dujarric and Melissa Fleming.
Inner City Press filled out a poll on June 11 - the most important qualification for any future SG is refusal to censor as Guterres has. Watch this site.
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
In Virginia Disparate TowneBank Eyes Richmond Area via Village Bank But Challenge
by Matthew R. Lee, Patreon Substack
FEDERAL COURT, Nov 1 – In Virginia, a bank is trying to move into the Richmond area via merger, with a disparate lending record. Fair Finance Watch with Inner City Press on the FOIA has filed a timely first comment on, the Application by TowneBank to acquire Village Bank & Trust.
But consider ChoiceOne's disparate lending record:
In Viginia in 2023 - in HMDA data not yet taken into account in any CRA exam - Towne Bank based on its marketing made 1282 mortgage loans to whites, and only 192 loans to African Americans. Meanwhile it denied 43 applications from African Americans, and only 64from whites. It should be referred to DOJ.
In North Carolina in 2023 Towne Bank based on its marketing made 1107 loans to whites, and only 80 loans to African Americans. Meanwhile it denied 10 applications from African Americans, and only 92 from whites.
In Maryland in 2023 Towne Bank based on its marketing made 1172 loans to whites, and only 366 loans to African Americans. Meanwhile it denied 30 applications from African Americans, and only 40 from whites.
The new Merger Guidance should be applied - that is a test case.
Why would regulators even consider approving this merger? Watch this site.
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
UN South Sudan Mission Sex Scandals Now Have Names Covered up by Pollard and Haysom
by Matthew Russell Lee, Patreon Book Substack
UN GATE, Nov 1 – How corrupt is today's UN under Antonio Guterres? Today's example in his mission in South Sudan, UNMISS, about which his spokespeople Stephane Dujarric and Melissa Fleming refuse all Press questions. Inner City Press has asked them, and others, about the newest sex abuse case against the UN there. A week ago, Inner City Press published this from a UN whistleblower:
"Dear Mr. Matthew Russell Lee:
...The Principal Coordination Officer, Director of SRSG of UNMISS has recently been ousted due to a sexual misconduct case."
Inner City Press has in writing asked some 60 people in Guterres' UN to confirm or deny the names - no answer at all. So we have receive this
"The individual who was sent home due to a sexual scandal is Boitshoko Mokgathe. The woman who accused him is Catherine Shin, a senior Political Affairs Officer. [No denial or comment from UN] Catherine Shin filed a case against Boithshoko Mokgathe, highlighting the severe shortcomings in the mission’s management structure.
The SRSG - Nicholas Haysom, an at time jovial man who did nothing when Inner City Press to whom he has spoken about the UN's failure in Sri Lanka was banned -- being of advanced age, struggles to manage the office effectively."
In anticipation of the arrival from New York of Catherine Pollard [who laughed or cheered as UN Security roughed up Inner City Press throwing it out of the UN while it covered a craven Guterres speech] several officials are taking leave to avoid being questioned.
Now this: USG Catherine Pollard held a town hall meeting with UNMISS staff today. However, questions were only taken from a selected group of management, while the majority of staff were sidelined.
The following questions were raised on the platform but were blocked by management group from being asked to USG Catherine Pollard. Some questions:
Illegal recruitment practices are widespread. Hiring managers often select their girl friends or boy friends , while others engage in favoritism by offering personal services, such as cooking or buying gifts, to gain promotions. Your administration appears powerless—issuing directives from New York that are never enforced. What impact do you hope to achieve with your visit to the mission from leaderships?
tackle the issue of non reporting the witnessed incidents of sexual harassment by Individual Uniformed personnel on the basis of political implications that may exist between the countries they represent.
We will have more on this.
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
UK Takes Over UNSC No UNRWA Answers Nor On Indictment Re Corruption by UN
by Matthew Russell Lee, Patreon Book Substack
UN GATE, Nov 1 – The United Kingdom took over the UN Security Council presidency on November 1, 2024 - while Inner City Press is still banned from the UN, despite its June 19 application.
On October 30, Inner City Press wrote to the UK Mission: "This is a timely request that you allow Inner City Press to enter and cover, and/or provide the WebEx pass code(s) to access to UK's UNSC Presidency press briefing by your Ambassador Barbara Woodward on November 1, 2024. I have questions to ask on what you will do this month about Gaza, UNRWA and Sudan, Ukraine, DRC and Rwanda, about the SDNY indictment involving Turkey's Mission to the UN as well as the coups in Gabon and Niger and the conflicts in Ukraine, Ethiopia, Cameroon, Yemen and Libya - and on ongoing cases of sexual abuse and exploitation by UN peacekeepers, and Missions' abuses in NYC, on many of which Inner City Press first reported
Please note that Inner City Press and I participate in the WebEx briefings of, for example, the IMF: March 31, 2022 and since with new IMF spokesperson Sept 28, 2023:
Switzerland did not answer, even its "spokesperson" Mungo Woodifield and the UNlisted Hannah.
Watch this site.
Inner City Press on June 19, 2024 again applied to the UN for access, as it gives 100s, to cover the UNGA week. Inner City Press has a NYC Press Pass and writes about the UN. From Sierra Leone and its UN Mission, nothing.
Watch this site.
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
Eric Adams Trial Set for April 21 After Turkey Bribery Count Argued in SDNY
by Matthew Russell Lee, Patreon Book Substack
SDNY COURTHOUSE, Nov 1 – The five-count indictment of NYC Mayor Eric Adams was unsealed in the U.S. District Court for the Southern District of New York Magistrates Court. Inner City Press was the first one in and live tweeted it - as it will his presentment, now set for Friday, September 27 at noon.
The unsealing thread
On September 17 at noon he was arraigned and pleaded not guilty. Thread.
On September 30, Adams' lawyers now including William Burck did file a motion to dismiss... Count V, on the Turkish Mission. 25 page memo of law of Patreon here.
At 5:58 am on October 1, Adams' lawyers filed a motion for sanctions alleging grand jury leaks - memo of law on Patreon here.
On October 18, the US Attorney's Office opposed Adams' motion about Count V, recounting that "Adams's deal with the Turkish Official continued into 2022, when Adams was Mayor and had direct authority over 'the FDNY approvals' he agreed to influence." Opposition on Patreon here.
On October 25 Adams' lawyer wrote in: "Mayor Adams respectfully requests a trial date no later than March 2025, in advance of the New York City mayoral primary on June 24 (and early voting on June 14)... Letter on Patreon here.
On October 31, Judge Ho denied Adams' and Spiro's bid for an evidentiary hearing on leaks. Full Order on Patreon here.
On November 1 Judge Ho heard argument - and reserved decision - on Count V, and set the trial day for April 21, 2025 - thread
More/extra on X for Subscribers here and Substack here
The case is USA v. Adams, 1:24-cr-556 (Ho).
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
Gupta in Indian Murder for Hire Case Did Not Pay Lawyer so Withdrawl now Federal Defender
by Matthew Russell Lee, Patreon Book Substack
SDNY COURTHOUSE, Oct 31 – Back in late 2023 in the U.S. District Court for the Southern District of New York, a superseding indictment was unsealed alleging murder-for-hire charges against Indian national Nikhil Gupta, aka Nick, 52, in connection with his participation in a foiled plot to assassinate a U.S. citizen in NYC - reportedly Sikh Gurpatwant Singh Pannun
Czech authorities arrested and detained Gupta in Prague’s Pankrac prison.
On June 17, 2024, Gupta was presented in the SDNY Magistrates Court. Inner City Press thread
On June 28, with Khalistan protesters out on Worth Street, Gupta was produced by US Marshals before Judge Victor Marrero. Inner City Press was there - thread
On October 17, the US unsealed a second superseding indictment naming a government official, at large, as co-defendant: Indian government employee VIKASH YADAV, a/k/a “Vikas,” YADAV is at large."
On October 18, Inner City Press live tweeted - and later asked Sikhs demonstrating on Worth Street why Modi security official Ajit Doval did not come to the US for the UN General Assembly... Thread
On October 25, Gupta's lawyer wrote in that he is no longer being paid and asks to withdraw from the case. Letter on Patreon here.
On October 31, in the SDNY Magistrates Court, the change was effectuated - and Inner City Press was the only media there, thread:
Gupta is due here in SDNY Magistrates Court to get new (free) lawyer, after he stopped paying his previous retained one. Hindi interpreter...
It's done - Gupta has Federal Defender: "hearing as to Nikhil Gupta held on 10/31/2024 w/Hindi interpreter; Jeffrey Chabrowe does not appear. Attorney Michael Rooney is substituted for attorney Jeffrey Chabrowe with defendant's consent."
The case is US v. Gupta, et al., 23-cr-289 (Marrero)
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
Webster Bank Is Sued for Unscrupulous Loans on NJ Property by BankESB in SDNY
by Matthew Russell Lee, Patreon Book Substack
SDNY COURTHOUSE, Oct 31 – Webster Bank is being sued for unscrupulous loans, in the U.S. District Court for the Southern District of New York which Inner City Press closely covers.
The lawsuit, by the former Easthampton Savings Bank now known as BankESB, was assigned out to SDNY District Judge John G. Koeltl on October 31, 2024. It states that Webster’s predecessor pitched a participation to it in 2020 in a leasehold office property in New Jersey clled American Metro Center or AMC.
It says, "Webster has consistently mismanaged the Webster loan." BankESB asks for recission and $500,000.
The case is BankESB v. Webster Bank, N.A., 1:24-cv-8268 (Koeltl)
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com
For IcomTech Crypto Ponzi US Asks 180 Months on Rodriguez Now He Gets 96 Months
by Matthew Russell Lee, Patreon Book Substack
SDNY COURTHOUSE, Oct 31 – For a cryptocurrency Ponzi scheme called IcomTech, which held a promotional event in or near NYC's Times Square, David Carmona on December 21 pled guilty before U.S. District Court for the Southern District of New York Judge Jennifer L. Rochon. Inner City Press was there to cover it - and a related upcoming trial. But first, pleas.
On January 12, the US Attorney's Office wrote in asking for Ruiz Ochoa a sentence near the top of the 57 to 71 month range.
On January 19, Inner City Press attended the sentencing, to five years, thread
On March 11, the cooperator of the witness stand was asked by the prosecution about a lengthy Excel speadsheet, then cross examined about money laundering for drug dealers, and buying cars including BMWs and what he called a "Lambhor jee-nee."
On March 12, the government had on the stand a witness who had bought into IcomTech then made money bringing in others "down line" from her. On cross examination she repeatedly asked to provide longer explanations, but was told that would have to be on re-direct. But it may be fast: by day's end it was said that closings can be on May 13.
And they were, including Brend being described, or shown, to be demanding a $12 fee on top of $3300 he was taking from a victim. Next up: verdict.
In came late on March 14, not without drama, here:
OK - now in case of Brend / IcomTech, there's a verdict sent out by jury- along with a note expressing concern about juror anonymity and safety. Defense says this is serious, wants time to brief.
Defense counsel cites a case he says was about John Gotti and problems cause by juror fear. Judge: I will not grant a mistrial. I don't see any indication of outside influence. The note does not say there is fear, only concern about confidentiality
Judge: This is very different than a juror being approached by mobsters. So I will take the verdict - any concerns can be raised in post-trial motions, depending on what the verdict is. I will direct the parties not to contact the jurors. Defense: We'd like to contact
Jury entering! Judge: I have an envelope, I'll now open it. I'll ask my Deputy to hand the verdict form to the foreperson, please. On the sole count of conspiracy to commit wire fraud, Brend? Guilty. Gustavo Rodriguez? Guilty. [Jurors are polled]
[There are now US Marshals in the back of the courtroom - will the prosecutors be asking for immediate remand to prison?] Judge: I thank you for your decision making. You are free of your obligation not to discuss the case. It's up to you
Jury leaves. Judge: Does the government have any applications? AUSA: Now post verdict, see 3143(a)(1), the burden is on the defendants. We think Mr. Rodriguez should be detained. Mr. Brend, we'd add home detention, GPS in Tampa where he lives.
AUSA: Mr. Rodriguez is not a US citizen. This is an aggravated felony; he is presumptively deportable. He faces a very significant sentence here. There's an enhancement for over $25 million. He was involved in other MLMs. He has family in South America: 11 trips
Update: in the middle of the post-verdict remand arguments, a woman walking out of the court room collapsed, with her eyes closed. 9-1-1 was called. She was described as defendant Brend's mother in law, speaking only Portuguese. Now a break has been taken
EMS arrived: court resumes. AUSA: Gustavo Rodriguez might just flee to Argentina. Defense: His 18 year old son is here, willing to testify, he would not leave him or his 16 year old. Judge: There is a guilty verdict, Mr Rodriguez will be detained
Rodriguez' lawyer: May my client speak with the son before he is remanded? To tell him how to get home? Judge: Marshals, can you wait a few minutes? Marshal: Yes.
On March 22, the US Attorney's Office argued that the ban on contacting jurors imposed after the verdict should continue, that they not be harassed by the defeated party (citing Moten, 582 F.2d at 664). The only exemption, they say, if if racial animus is expressed, not relevant here.
On June 18, counsel for David Carmona who pled wrote to the Probation Department objecting to the PSR, suggest a guideline of 41 to 51 months and noting that "as to paragraph 75, the matter for which Mr. Carmona was arrested in Las Vegas, Nevada was dismissed and sealed." But the PSR still picked it up...
On July 29 David Brend got a Fatico hearing on loss amounts, appearing for it by video. Inner City Press was in the courtroom, from the thread:
US describing "underestimated" loss amount...
Judge Rochon: What about conscious avoidance?
Assistant US Attorney: It doesn't reduce the loss amount... Brend sent WebEx invites as widely as possible
On September 20, counsel for Cardona wrote in asking for a two year sentence on October 4.
On September 27, the US asked for 188 months on Cardona.
On October 3, Gustavo Rodriguez's requests got shot down: "ENDORSED LETTER as to Gustavo Rodriguez addressed to Judge Ross from Attorney Jeffrey Cohn dated October 1, 2024 re: I write to request that the Court adjourn sentencing in the above-referenced case and set a date for a hearing on Mr. Rodriguez' pending motions pursuant to Rules 29 and 33 of the Federal Rules of Criminal Procedure. It is Mr. Rodriguez' intention to testify at the proposed hearing. As regards the timing of this letter, shortly after undersigned counsel was retained, Mr. Rodriguez had proposed meeting with the government and it was only yesterday that the government informed me that it refused to meet with him. ENDORSEMENT: The request to adjourn sentencing is DENIED. Defendant was found guilty on March 14, 2024 and the sentencing date has already been repeatedly adjourned in this case. Therefore, it will not be moved. The Court will hear argument on Defendant's Rule 29 and Rule 33 motions on October 11, 2024 at 11:00 a.m. SO ORDERED. ( Motion Hearing set for 10/11/2024 at 11:00 AM before Judge Jennifer L. Rochon. ) (Signed by Judge Jennifer L. Rochon on 10/3/2024) "
On October 4, Cardona was sentenced to 121 months. From Inner City Press' thread:
AUSA: Mike Myersnow at sentencing of Carmona in Icomtech Ponzi case, he is already in detention. Prosecutor just quoted "Wayne's World." says, tell two friends, and they tell two friends. That's what happened here, a Ponzi. His loss amount is over $25 million.
Judge: That may be under reported. This scheme targeted vulnerable people, including those without legal immigration status
On October 10, counsel for Gustavo Rodriguez asked that he get time served on October 22.
On October 17 the US Attorney's Office wrote in asking for 160 months on Rodriguez - and on Brend.
On October 22 Inner City Press went to Rodriguez' sentencing. His new lawyer argued for a Fatico hearing, including a Mr. Cruz who had come to testify he designed websites just like Rodriguez. Judge Rochan got the day's CJA counsel to come up and advise Cruz; Rodriguez took the stand at 4 pm and began speaking about the farming region in Argentina he comes from.
The sentencing only occurred on October 31, after days of Fatico hearing(s). Thread:
. Judge: I find intentional false statements, so enhancement upward. And perhaps a departure upward too - I'll issue my sentence after lunch
AUSA: He perjured himself for days. He showed his Ponzi scheme on a white board. He is remorseless. Carmona had no clue how to trade crypto, he didn't even watch a YouTube video
AUSA: I am going to ask for more than in our memo - 180 months, more than the 121 months Carmona was sentenced to. Defense lawyer: That's more than violent criminals get.
Defense: He's a computer nerd that made a mistake. He just wanted to help Carmona. Inmate Stan Jones wrote in saying he should get home confinement. His son was here for trial, if you remember- Judge: I do [Me too]
Defense: He has been extorted in MDC Bklyn. OK, he had too much intellectual pride. What other programmer has been sentenced like this? He could teach how MLM needs extra levels of security to make sure it's not a fraud Judge: Did he have a hazardous tool in MDC?
Defense: A phone in his cell. It wasn't his. Gustavo Rodriguez: Initially I wanted to talk with the Government to help them... For my son, he had never spent a night without me. My other son is finishing high school, he saw college costs, very high. Have mercy
Judge: I take this seriously. I will rule later
Judge is back: Gustavo Rodriguez brought back in by US Marshals Judge: He is clearly a very smart man. Based on my lengthy time with him... I do not believe he is a sociopath. He created the back office and website that allowed this. He did not profit like others
Judge: There are many crypto frauds, they must be deterred. I considered Tacuri [20 years, for Forcount]. Carmona and Ochoa pled guilty: he went to trial, then said things that are not true. I sentence you to 96 months or 8 years
More on X for Subscribers here and Substack here
The case is US v. Carmona, et al., 22-cr-551 (Rochon)
***
Your support means a lot. As little as $5 a month helps keep us going and grants you access to exclusive bonus material on our Patreon page. Click here to become a patron.
Feedback: Editorial [at] innercitypress.com