Latest news with #AssistantUSAttorney
Al Jazeera
12-05-2025
- Entertainment
- Al Jazeera
Music mogul ‘Diddy' faces allegations of abuse during first day of US trial
A number of witnesses have taken to the stand in the trial of Sean 'Diddy' Combs, who is facing allegations of racketeering and sex trafficking during his time as head of an entertainment empire. Testimony in the trial began on Monday after the final phase of jury selection and opening statement from lawyers. Combs, donning a light-grey sweater, gave a thumbs-up to supporters in the courtroom in New York City in the United States. 'For 20 years, the defendant, with the help of his trusted inner circle, committed crime after crime,' Assistant US Attorney Emily Johnson told the court. 'That's why we are here today. That's what this case is about.' A number of witnesses testified that they had experienced physical violence, intimidation, and manipulation by Combs, while the rapper's lawyers said that he has been charged with the wrong categories of crimes and 'his kinky sex and his preferences for sex' were being portrayed as nefarious. Attorney Teny Geragos told jurors that they may end up thinking Combs was a 'jerk' or 'kind of mean', but that he is not being charged 'with being mean or a jerk'. 'This case is about voluntary choices made by capable adults in consensual relationships,' Geragos said during her opening statement. Johnson, the US attorney, said that Combs 'viciously attacked' women who refused to participate in the parties that were called 'freak offs'. 'They will tell you about some of the most painful experiences of their lives. The days they spent in hotel rooms, high on drugs, dressed in costumes to perform the defendant's sexual fantasies,' Johnson told jurors of testimony from victims in the case. The courtroom became audibly silent as a video of Combs beating and kicking his former girlfriend Casandra Ventura in 2016 was shown. A stripper named Daniel Phillip testified that Combs had thrown a liquor bottle towards Ventura before grabbing her by the hair and dragging her screaming into another room, where Phillip says he heard Combs yelling and beating Ventura. 'She literally jumped into my lap and she was shaking, like literally her whole entire body was shaking. She was terrified,' Phillip testified of Ventura. Geragos conceded that Combs is prone to jealousy and had committed an act of 'horrible, dehumanising violence' in the video shown to jurors, but that it was evidence of domestic abuse, not alleged acts of sex trafficking or racketeering that are at the centre of the case. Prosecutors say that Combs, who faces a mandatory minimum sentence of 15 years in prison if convicted of all five felony counts to which he had pleaded not guilty, pushed women to engage in drug-fuelled parties and then blackmailed them with videos of their encounters. Combs's status as a high-profile entertainer has brought substantial attention to the trial, as well as larger debate about how powerful figures in sectors such as entertainment, business, sports, and politics often evade accountability for acts of abuse. As the case began, the jury and alternates – 12 men and six women – were seated in the courtroom. Opening arguments started after the judge finished explaining the law as it relates to this trial, along with incidentals such as that a light breakfast will be provided to the jury in addition to lunch. The jury for this case is essentially anonymous, meaning their identities are known to the court and the prosecution and defence, but will not be made public. 'We will keep your names and identities in confidence,' Subramanian told jurors. It's a common practice in federal cases to keep juries anonymous, particularly in sensitive, high-profile matters where juror safety can be a concern. Juror names also were kept from the public in US President Donald Trump's criminal trial last year in state court in New York. Subramanian urged jurors to judge the case only based on the evidence presented in court. It's a standard instruction, but it carried added significance in this high-profile case, which has been the subject of intense media coverage. 'Anything you've seen or heard outside the courtroom is not evidence,' the judge said. 'It must be disregarded.'
CNN
09-05-2025
- Business
- CNN
Founder of crypto lender Celsius sentenced to 12 years in prison
The founder and former CEO of the cryptocurrency lending platform Celsius Network has been sentenced to 12 years in prison after a prosecutor labeled him a predator who 'preyed on hope' by enticing vulnerable customers to risk their life savings for a supposedly safe investment. Alexander Mashinsky, 59, was sentenced Thursday by US District Judge John G. Koeltl, who said a substantial term in prison was necessary for someone who engaged in 'extremely serious' crimes that enabled him to pocket over $45 million while some of his customers lost everything and suffered severe psychological harm. Celsius declared bankruptcy in 2022, exposing risky financial bets Mashinsky had made with some of the $20 billion that thousands of customers poured into the company. He had promised that their money would be safe and secure at Celsius, which pitched itself as a modern-day bank where crypto assets could earn interest. The defense blamed the collapse of Celsius on a 'cataclysmic downturn' of cryptocurrency markets in May and June of 2022 and said in court papers that Mashinsky's 'actions were never predatory, exploitative or venal. He never acted with the intent to hurt anyone.' But Assistant US Attorney Allison Nichols cast him as a financial predator, telling the judge Thursday that Mashinsky had deceived customers from the start by exaggerating Celsius' ability to build momentum. 'He preyed on hope,' she said. 'Mashinsky knew exactly what he was doing — selling these people hope.' She said the customers were not going to be made financially whole regardless of money that can be recovered through bankruptcy proceedings. Before he was sentenced, Mashinsky sobbed several times as he apologized to customers and referenced his difficult past as his family was able to leave a small Ukrainian town in the former Soviet Union with help from the United States when he was 7. The family moved to Israel, where Mashinsky served three years in the Israeli Defense Forces as a fighter pilot before coming to America. Mashinsky said he 'never meant to hurt anybody here after all this country has done for me.' 'I'm truly sorry,' he said, describing himself as someone 'who came from nothing.' When he pleaded guilty in December, Mashinsky admitted to misleading customers between 2018 and 2022 by promising their investments were safe even as he fabricated Celsius' profitability and put customers' funds at the mercy of uncollateralized loans and undisclosed risky market bets. His attorney, Marc Mukasey, said victim impact statements submitted to the court were 'rather brutal' toward his client. 'We hear the intensity of their pain,' he said. 'Our sympathies are with everyone.' Several victims spoke at the sentencing hearing. Cameron Crewes, who serves on a victims' committee, called for a 'harsh sentence,' saying nearly 250 victims died before they could see justice served or get adequately compensated for losses. 'Many people have been wiped out,' he said. In a statement, US Attorney Jay Clayton said Mashinsky 'made tens of millions of dollars while his customers lost billions.' He added: 'America's investors deserve better. The case for tokenization and the use of digital assets is strong, but it is not a license to deceive. The rules against fraud still apply.'
CNN
09-05-2025
- Business
- CNN
Founder of crypto lender Celsius sentenced to 12 years in prison
The founder and former CEO of the cryptocurrency lending platform Celsius Network has been sentenced to 12 years in prison after a prosecutor labeled him a predator who 'preyed on hope' by enticing vulnerable customers to risk their life savings for a supposedly safe investment. Alexander Mashinsky, 59, was sentenced Thursday by US District Judge John G. Koeltl, who said a substantial term in prison was necessary for someone who engaged in 'extremely serious' crimes that enabled him to pocket over $45 million while some of his customers lost everything and suffered severe psychological harm. Celsius declared bankruptcy in 2022, exposing risky financial bets Mashinsky had made with some of the $20 billion that thousands of customers poured into the company. He had promised that their money would be safe and secure at Celsius, which pitched itself as a modern-day bank where crypto assets could earn interest. The defense blamed the collapse of Celsius on a 'cataclysmic downturn' of cryptocurrency markets in May and June of 2022 and said in court papers that Mashinsky's 'actions were never predatory, exploitative or venal. He never acted with the intent to hurt anyone.' But Assistant US Attorney Allison Nichols cast him as a financial predator, telling the judge Thursday that Mashinsky had deceived customers from the start by exaggerating Celsius' ability to build momentum. 'He preyed on hope,' she said. 'Mashinsky knew exactly what he was doing — selling these people hope.' She said the customers were not going to be made financially whole regardless of money that can be recovered through bankruptcy proceedings. Before he was sentenced, Mashinsky sobbed several times as he apologized to customers and referenced his difficult past as his family was able to leave a small Ukrainian town in the former Soviet Union with help from the United States when he was 7. The family moved to Israel, where Mashinsky served three years in the Israeli Defense Forces as a fighter pilot before coming to America. Mashinsky said he 'never meant to hurt anybody here after all this country has done for me.' 'I'm truly sorry,' he said, describing himself as someone 'who came from nothing.' When he pleaded guilty in December, Mashinsky admitted to misleading customers between 2018 and 2022 by promising their investments were safe even as he fabricated Celsius' profitability and put customers' funds at the mercy of uncollateralized loans and undisclosed risky market bets. His attorney, Marc Mukasey, said victim impact statements submitted to the court were 'rather brutal' toward his client. 'We hear the intensity of their pain,' he said. 'Our sympathies are with everyone.' Several victims spoke at the sentencing hearing. Cameron Crewes, who serves on a victims' committee, called for a 'harsh sentence,' saying nearly 250 victims died before they could see justice served or get adequately compensated for losses. 'Many people have been wiped out,' he said. In a statement, US Attorney Jay Clayton said Mashinsky 'made tens of millions of dollars while his customers lost billions.' He added: 'America's investors deserve better. The case for tokenization and the use of digital assets is strong, but it is not a license to deceive. The rules against fraud still apply.'
Associated Press
08-05-2025
- Business
- Associated Press
Founder of crypto platform Celsius Network is sentenced to 12 years in prison
NEW YORK (AP) — The founder and former CEO of the cryptocurrency lending platform Celsius Network was sentenced Thursday to 12 years in prison after a prosecutor labeled him a predator who 'preyed on hope' by enticing vulnerable customers to risk their life savings for a supposedly safe investment. Alexander Mashinsky, 59, was sentenced by U.S. District Judge John G. Koeltl, who said a substantial term in prison was necessary for someone who engaged in 'extremely serious' crimes that enabled him to pocket over $45 million while some of his customers lost everything and suffered severe psychological harm. Celsius declared bankruptcy in 2022, exposing risky financial bets Mashinsky had made with some of the $20 billion that thousands of customers poured into the company. He had promised that their money would be safe and secure at Celsius, which pitched itself as a modern-day bank where crypto assets could earn interest. The defense blamed the collapse of Celsius on a 'cataclysmic downturn' of cryptocurrency markets in May and June of 2022 and said in court papers that Mashinsky's 'actions were never predatory, exploitative or venal. He never acted with the intent to hurt anyone.' But Assistant U.S. Attorney Allison Nichols cast him as a financial predator, telling the judge Thursday that Mashinsky had deceived customers from the start by exaggerating Celsius' ability to build momentum. 'He preyed on hope,' she said. 'Mashinsky knew exactly what he was doing — selling these people hope.' She said the customers were not going to be made financially whole regardless of money that can be recovered through bankruptcy proceedings. Before he was sentenced, Mashinsky sobbed several times as he apologized to customers and referenced his difficult past as his family was able to leave a small Ukrainian town in the former Soviet Union with help from the United States when he was 7. The family moved to Israel, where Mashinsky served three years in the Israeli Defense Forces as a fighter pilot before coming to America. Mashinsky said he 'never meant to hurt anybody here after all this country has done for me.' 'I'm truly sorry,' he said, describing himself as someone 'who came from nothing.' When he pleaded guilty in December, Mashinsky admitted to misleading customers between 2018 and 2022 by promising their investments were safe even as he fabricated Celsius' profitability and put customers' funds at the mercy of uncollateralized loans and undisclosed risky market bets. His attorney, Marc Mukasey, said victim impact statements submitted to the court were 'rather brutal' toward his client. 'We hear the intensity of their pain,' he said. 'Our sympathies are with everyone.' Several victims spoke at the sentencing hearing. Cameron Crewes, who serves on a victims' committee, called for a 'harsh sentence,' saying nearly 250 victims died before they could see justice served or get adequately compensated for losses. 'Many people have been wiped out,' he said. In a statement, U.S. Attorney Jay Clayton said Mashinsky 'made tens of millions of dollars while his customers lost billions.' He added: 'America's investors deserve better. The case for tokenization and the use of digital assets is strong, but it is not a license to deceive. The rules against fraud still apply.'
