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Binance founder sentenced to four months in prison for money laundering in US

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Changpeng Zhao, the founder of Binance, has been sentenced to four months in prison for money laundering, unlicensed money transmitting and violations in Seattle, United States (US).

At a sentencing hearing on Tuesday, Richard Jones, the presiding judge, said Zhao put “Binance’s growth and profits over compliance with US laws and regulations”.

According to US officials, Zhao intentionally turned a blind eye to transactions that financed terrorism, the illegal drug trade, and child sex abuse.

“I failed here. I deeply regret my failure, and I am sorry,” Zhao told the court.

 

“I believe the first step of taking responsibility is to fully recognise the mistakes. Here I failed to implement an adequate anti-money-laundering programme. I realise now the seriousness of that mistake.”

 

The four-month sentence is lower than the three years prosecutors sought.

Prosecutors told the judge a tough sentence would send a clear signal to other would-be criminals.

“We are not suggesting that Mr. Zhao is Sam Bankman-Fried or that he is a monster,” Kevin Mosley, one of the prosecutors, said.

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“But Zhao’s conduct wasn’t a mistake. This wasn’t a regulatory ‘oops.”

 

On November 21, 2023, Zhao pleaded guilty to money laundering.

 

Binance also agreed to pay more than $4 billion in fines and other penalties.

 

Meanwhile, Binance subsidiary in Nigeria is facing charges for illicit foreign exchange (FX) transactions.

Nadeem Anjarwalla, Binance’s regional manager for Africa, and Tigran Gambaryan, its head of financial crime compliance, were charged with tax evasion and money laundering by the federal government.

The duo were arrested and detained on February 28.

However, Anjarwalla escaped custody in March.

 

Zhao’s sentence is coming less than one month after Sam Bankman-Fried, former CEO and founder of Futures Exchange (FTX), was sentenced to 25 years in prison after being convicted of defrauding his customers, investors, and lenders.

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Elected leaders told me ICC was built for Africa and thugs, says chief prosecutor

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Karim Khan, chief prosecutor of the International Criminal Court (ICC), says some elected leaders told him that the ICC was built for Africa and “thugs like Vladimir Putin”, the Russian president.

 

The ICC is the first and only permanent international court with jurisdiction to prosecute individuals for genocide, crimes against humanity, war crimes, and aggression.

 

The court’s member states are obliged to immediately arrest the wanted person if on their territory.

 

Israel and the US, the Jewish nation’s biggest ally, are not members of the ICC.

 

Khan did not specify which elected leader or leaders he was referring to, but expressed his disapproval at apparent threats from the US over the ICC’s intention to seek arrest warrants against Benjamin Netanyahu, prime minister of Israel.

The ICC is also asking for an arrest warrant for Yoav Gallant, Israeli defence minister. Both men have been accused of war crimes.

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The court’s decision to prosecute Israeli authorities has been met with ire from Israel and the US.

 

“Target Israel and we will target you. If you move forward with the measures indicated in the report, we will move to end all American support for the ICC, sanction your employees and associates, and bar you and your families from the United States,” a letter signed by some senators reads.

 

“You have been warned.”

 

US President Joe Biden had also described the allegations against Israel as “outrageous”.

 

“Let me be clear, we reject the ICC’s application for arrest warrants against Israeli leaders,” Biden said at a Jewish American Heritage Month event at the White House on Monday.

 

“There is no equivalence between Israel and Hamas.”

‘IT’S NOT GENOCIDE’

In a CNN interview on Monday, Khan described the letter as a threat, maintaining that the ICC’s values are synonymous with American beliefs.

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“And, of course, I’ve had some elected leaders speak to me and be very blunt. ‘This court is built for Africa and for thugs like Putin,’ was what one senior leader told me,” Khan said, adding that “we don’t view it like that”.

 

“We are not going to be swayed by the different types of threats, some of which are public and some maybe are not,” he added.

 

The ICC is also seeking warrants for three Hamas chiefs — Yahya Sinwar, leader of the Palestinian militant group; Mohammed Al-Masri, leader of the Al Qassem Brigades; and Ismail Haniyeh, Hamas’ political leader.

 

Charges against the Hamas leaders include “extermination, murder, taking of hostages, rape and sexual assault in detention”.

 

Netanyahu and Gallant are being charged for “causing extermination, causing starvation as a method of war, including the denial of humanitarian relief supplies, deliberately targeting civilians in conflict”.

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All charges are in relation to the ongoing Israel-Hamas war.

Israel is also facing a separate charge of alleged genocide at the International Court of Justice (ICJ) as brought forward by South Africa.

 

Biden said Israel is not committing genocide in Gaza.

 

“Contrary to allegations against Israel made by the International Court of Justice (ICJ), what’s happening in Gaza is not genocide. We reject that,” Biden added.

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Helicopter Crash: Iranians pay last respects to President Raisi

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Several thousands of Iranians gathered Tuesday to mourn President Ebrahim Raisi and seven members of his entourage who were killed in a helicopter crash on a fog-shrouded mountainside in the northwest.

 

Waving Iranian flags and portraits of the late president, mourners set off from a central square in the northwestern city of Tabriz, where Raisi was headed when his helicopter crashed on Sunday.

 

They walked behind a lorry carrying the coffins of Raisi and his seven aides.

 

Their helicopter lost communications while it was on its way back to Tabriz after Raisi attended the inauguration of a joint dam project on the Aras river, which forms part of the border with Azerbaijan, in a ceremony with his counterpart Ilham Aliyev.

 

A massive search and rescue operation was launched on Sunday when two other helicopters flying alongside Raisi’s lost contact with his aircraft in bad weather.

 

State television announced his death in a report early on Monday, saying “the servant of the Iranian nation, Ayatollah Ebrahim Raisi, has achieved the highest level of martyrdom”, showing pictures of him as a voice recited the Koran.

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Killed alongside the Iranian president were Foreign Minister Hossein Amir-Abdollahian, provincial officials, and members of his security team.

 

Iran’s armed forces chief of staff Mohammad Bagheri ordered an investigation into the cause of the crash as Iranians in cities nationwide gathered to mourn Raisi and his entourage.

 

Tens of thousands gathered in the capital’s Valiasr Square on Monday.

 

Supreme leader Ayatollah Ali Khamenei, who has ultimate authority in Iran, declared five days of national mourning and assigned vice president Mohammad Mokhber, 68, as caretaker president until a presidential election can be held.

 

State media later announced that the election would will be held on June 28.

Iran’s top nuclear negotiator Ali Bagheri, who served as deputy to Amir-Abdollahian, was named acting foreign minister.

 

From Tabriz, Raisi’s body will be flown to the Shiite clerical centre of Qom on Tuesday before being moved to Tehran that evening.

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Processions will be held in in the capital on Wednesday morning before Khamenei leads prayers at a farewell ceremony.

 

Raisi’s body will then be flown to his home city of Mashhad, in the northeast, where he will be buried on Thursday evening after funeral rites.

 

Raisi, 63, had been in office since 2021. The ultra-conservative’s time in office saw mass protests, a deepening economic crisis and unprecedented armed exchanges with arch-enemy Israel.

 

Raisi succeeded the moderate Hassan Rouhani, at a time when the economy was battered by US sanctions imposed over Iran’s nuclear activities.

 

Condolence messages flooded in from Iran’s allies around the region, including the Syrian government, Palestinian militant group Hamas and Lebanese militant group Hezbollah.

 

It was an unprecedented Hamas attack on Israel that sparked the devastating war in Gaza, now in its eighth month, and soaring tensions between Israel and the “resistance axis” led by Iran.

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Israel’s killing of seven Revolutionary Guards in a drone strike on the Iranian consulate in Damascus on April 1 triggered Iran’s first ever direct attack on Israel, involving hundreds of missiles and drones.

 

In a speech hours before his death, Raisi underlined Iran’s support for the Palestinians, a centrepiece of its foreign policy since the 1979 Islamic revolution.

 

Palestinian flags were raised alongside Iranian flags at ceremonies held for the late president.

AFP

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Labour gives FG May 31 ultimatum to reverse electricity tariff hike

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The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) have given the federal government until May 31 to reverse the electricity tariff.

 

The labour bodies gave the ultimatum in a communiqué issued in Abuja on Monday at the end of a joint emergency national executive council (NEC) meeting of the NLC and TUC.

 

On April 3, the National Electricity Regulatory Commission (NERC) approved an increase in the electricity tariff for customers in the Band A classification—from N66 to N225 per kwh.

 

The tariff hike attracted public outcry and calls for its reversal.

 

On May 13, members of organised labour picketed the headquarters of the NERC, the federal ministry of power, and the Abuja Electricity Distribution Company (AEDC) in Abuja, demanding a reversal of the tariff.

 

The protest was replicated across Nigeria.

 

In the communiqué, the unions said the action taken by the government without consideration for the hardship of the masses was “unjust and burdensome”.

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“The NEC once again vehemently condemns the unilateral increase in electricity tariffs by the authorities,” the communiqué reads.

 

“This action, taken without due consideration for the economic hardships faced by the masses and the provisions of the law, is deemed unjust and burdensome.

 

“The NEC reaffirms its demands for an immediate reversal of the tariff hike and the vexatious apartheid categorization into bands to alleviate the suffering of Nigerian workers and citizens and gives the National Electricity Regulatory Commission and the federal government until the last day of May 2024 to meet these demands.”

 

The organised labour said appropriate actions would be taken if the government failed to meet its demands.

 

“This includes, but is not limited to, the mobilisation of workers for peaceful protests and industrial actions to press home these demands for social justice and workers’ rights,” the unions said.

 

The labour unions also reiterated the May 31 ultimatum for the federal government to finalise the new national minimum wage fixing process for workers.

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“We need an agreement that will genuinely reflect the true value of Nigerian workers’ contributions to the nation’s development and the current crisis of survival facing Nigerians as a result of government’s policies,” the labour movement added.

 

“The NEC affirms its commitment to ensuring that the interests and welfare of workers are adequately protected in the negotiation process.

 

“The NEC-in-session therefore reiterates the ultimatum issued by the NLC and TUC to the federal government, which expires on the last day of this month.”

 

The organised labour directed all councils whose state governments are yet to fully implement the N30,000 national minimum wage and its consequential adjustments to “immediately issue a joint two-week ultimatum to the culpable state governments to avert industrial action”.

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