The sentencing of Roni Cohen-Pavon, the former Chief Revenue Officer of Celsius, originally scheduled for December 11, has been postponed. This decision follows a plea agreement between former CEO Alex Mashinsky and United States prosecutors. U.S. Attorney Damian Williams requested the Southern District of New York’s District Court to delay Cohen-Pavon’s sentencing until after Mashinsky’s, which is set for April 2025. Williams highlighted that Cohen-Pavon’s testimony and shared information could significantly determine Mashinsky’s sentence. Judge John Koeltl approved the request, officially postponing the sentencing hearing. While granting the request, Judge Koeltl ordered both parties to report to the court on April 18 for an update. This will be ten days after Mashinky’s sentencing. The judge will likely make a sentencing to Cohen-Pavon on this date. Cohen-Pavon had earlier pleaded guilty to four counts of felony charges. Mashinsky’s agreement to plead guilty changed the proceedings While everything seemed to have fallen into place for Cohen-Pavon, Mashinsky’s agreement to plead guilty has altered the flow. On December 3, Mashinsky agreed to plead guilty to two charges as part of a deal with prosecutors. If the Judge gives a maximum sentence to the two charges, Mashinsky could spend up to 30 years in prison on both charges served consecutively. Cohen-Pavon and Mashinsky were indicted in July 2023. They were accused of misleading Celsius users to maximize profits by manipulating prices. When the two were indicted, Cohen-Pavon was not in the US, and he had pleaded not guilty by then. However, when he was finally arrested in September 2023, he pleaded guilty to several charges. Among the listed charges were conspiracy to commit price manipulation, wire fraud, manipulation of security prices, and securities fraud. Despite pleading guilty to these charges, Cohen-Pavon had never been sentenced, as he was scheduled for sentencing on December 11. Cohen-Pavon might Influence Mashinky’s sentencing Most people following the case wonder how Cohen-Pavon’s information to the court could sway the Judge’s consideration during Mashinsky’s sentencing. The former CEO pleaded guilty to misinforming users about Celsius’s approval from US regulators and not selling his CEL token holdings. As part of his plea deal, he was open to forfeiting $48 million in proceeds from the scheme. While awaiting his sentencing, Cohen-Pavon has been enjoying foreign travels freely. He was allowed to return to Israel from New York after posting a bond worth $500,000. Judge Koeltl also allowed him to travel to Singapore in September. The period coincided with the Token 2049 crypto conference in Singapore, leading to speculations of his attendance. Celsius went bankrupt in 2022. By then, it was a top crypto platform that had collapsed due to a market downturn. Most users lost their money locked in their accounts, leaving them in anguish. The investors were relieved in November when a Bankruptcy judge approved a reorganization plan for Celsius, making it possible for debtors to distribute about $2 billion to the platform’s creditors. The company indicated that they will begin repaying customers by next year. While the Celsius case is still active, these executives won’t be the first to face jail time in the crypto space. Former FTX CEO Sam Bankman-Fried went through the legal process and was jailed. Besides, former Binance CEO Changpeng Zhao served his term in prison. The two were facing different charges. Land a High-Paying Web3 Job in 90 Days: The Ultimate Roadmap
