Former Binance CEO CZ Seeks to Dismiss Government’s Motion Blocking His Return to UAE Before Sentencing
Former Binance CEO Changpeng Zhao (CZ) is seeking to dismiss the U.S. government’s motion to prevent him from going home to the United Arab Emirates (UAE) before sentencing. Despite the judge determining that the ex-Binance boss poses no flight risk after he voluntarily appeared in court to plead guilty, the government is pushing for a restriction on his return home before sentencing.
CZ Wants Judge to Dismiss Government’s Motion
Former Binance CEO Changpeng Zhao (CZ) filed an opposition to the U.S. government’s “motion for review” of the judge’s ruling on his “presentencing travel restrictions.”
The U.S. government filed a single count of information on Nov. 14, charging Zhao with “failing to maintain an effective anti-money laundering program,” the document details. “The government also filed a parallel Information against Binance for failing to comply with provisions of the Bank Secrecy Act and U.S. sanctions law.”
After hearing from both the government and Zhao, Judge Brian Tsuchida issued a “release order” with a bail package that permits the former Binance chief to return home to the United Arab Emirates (UAE) pending sentencing. While agreeing that CZ is not a danger to the community and bail is appropriate, the government filed a motion seeking to prevent Zhao from being able to return home to the UAE before sentencing.
The legal team for CZ argued:
Judge Tsuchida concluded based on a complete record, Mr. Zhao presents no risk of flight, having voluntarily come before the court to accept responsibility and plead guilty, and the government’s motion should be denied.
The lawyers for CZ detailed that the ex-Binance boss “voluntarily flew” to the U.S. to appear before the court on Nov. 21 where he pleaded guilty. Zhao also stepped down as the CEO of Binance. “As part of this multi-agency resolution with the Department of Justice and the civil agencies, the company and Mr. Zhao will pay a historic sum of more than $4.3 billion, with Mr. Zhao paying a personal penalty of $150 million to the CFTC,” the legal team added. The government states in its motion that Mr. Zhao may “face up to 18 months in prison.”
After hearing from both sides, Judge Tsuchida ordered Zhao released and permitted to return home to the UAE based on bail conditions. The document describes:
Under the order, the bail conditions require that Mr. Zhao post a $175 million personal recognizance bond, secured by two guarantors with cash pledges of $100,000 and $250,000, respectively, and a third guarantor with real property located in Los Angeles, California, valued at more than $5 million.
Do you think CZ should be able to return home to the UAE pending sentencing? Let us know in the comments section below.
