Arizona resident Reginald Fowler was found guilty of providing shadow banking services through the Crypto Capital transaction in Panama. Blok writes about it.

At the end of 2019, the man was about to partially confess to a series of charges. He later abandoned the plans due to a condition that authorities could charge him $371 million.

During the remote hearing on April 25, 2022, Fowler pleaded guilty to all charges, including conspiracy and illegal transfers. The maximum sentence in his case is 90 years in prison.

The final decision will be made on 30 August.

Crypto Capital is a key player in the Bitfinex v New York State lawsuit. The exchange transferred $850 million for storage to this transaction. As a result, it lost access to the funds, and authorities accused the platform of trying to hide the loss and close the gap with funds from the Tether stablecoin issuer. it’s up to him.

Along with Fowler, Israeli citizen Ravid Youzef and his brother Oz Youzef were charged with bank fraud. The latter was the founder of Crypto Capital, where illegal transactions were carried out. Both defendants are still free.

In early February 2021, Bitfinex repaid the loan to Tether. That same month, the companies signed an agreement with the New York State Attorney General’s Office.

Under the terms of the deal, Bitfinex and Tether agreed to pay $18.5 million to the government, make their reserves public and stop serving local customers. However, the company did not accept the truth of the crime.

Recall that in October 2020, Fowler announced that he was ready to plead guilty.