Former Celsius CEO Seeks to Overturn Fraud Sentence
- Alex Mashinsky filed a motion in New York to vacate his Celsius fraud sentence of 12 years, set by Judge John Koeltl.
- The motion cites ineffective counsel and the legal doctrine of “fruit of the poisonous tree” as grounds for appeal.
- Mashinsky claims former FTX CEO Sam Bankman-Fried attempted to manipulate Celsius‘ CEL tokens.
- He was ordered to pay $48 million in forfeiture and $10 million in a settlement with the FTC.
- Roni Cohen-Pavon, former chief revenue officer at Celsius, was sentenced to time served and agreed to pay over $1 million.
Mashinsky’s legal challenges follow his guilty plea related to commodities and securities fraud, which contributed to Celsius’ bankruptcy amid a broader market downturn affecting multiple exchanges.
As part of his case, Mashinsky faces significant financial penalties totaling over $58 million while seeking to overturn his conviction for fraud and market manipulation.(Source)
