Facing fraud charges, former Celsius CEO Alex Mashinsky is seeking testimonies from six of his former employees to bolster his defense. Prosecutors allege that Mashinsky defrauded customers and misrepresented the financial health of the cryptocurrency lending platform.
Did Mashinsky Intend to Deceive Customers?
Mashinsky’s legal team argues that he had no intention of harming clients and relied on information provided by seasoned executives, including the company’s ex-Chief Financial Officer and Chief Risk Officer. They emphasize that he depended on the expertise of his team to make informed decisions.
Were Employees Acting Against Instructions?
The defense suggests that certain former employees, such as ex-Revenue President Roni Cohen-Pavon, did not follow Mashinsky’s directives. Instead of selling Celsius’s CEL tokens as instructed, they allegedly purchased more, which may have contributed to the manipulation of the token‘s price.
Key Arguments Highlighted by the Defense
– Mashinsky relied on advice from Celsius’s legal and risk teams for public statements.
– Content for events like “Ask Mashinsky Anything” was organized without his direct involvement.
– Corrections to his public statements were made, often without his knowledge.
– The defense claims these points demonstrate a lack of fraudulent intent on Mashinsky’s part.
This high-profile case has garnered significant attention in the cryptocurrency industry, shedding light on issues of accountability within corporate structures. The testimonies of former employees could significantly impact the trial’s outcome and influence future regulatory measures in the sector.