A US district judge has halted Binance CEO Changpeng Zhao’s return to the UAE, citing the risk of him not returning before his February sentencing for financial violations.
A federal court in Seattle has halted former Binance CEO Changpeng Zhao’s application to return to the UAE. The decision to temporarily ban Zhao from leaving the United States until he is sentenced in February overturns an earlier ruling that had allowed him to return to the UAE.
U.S. District Judge Richard Jones ordered a delay following a request from U.S. prosecutors to reconsider their earlier decision. This comes after Zhao pleaded guilty to charges related to anti-money laundering and violating U.S. sanctions following Binance’s $4.3 billion settlement with the Justice Department. His plea was part of a comprehensive deal with authorities.
Last week, Zhao’s lawyers submitted an application to the court suggesting that he be allowed to remain in home confinement in the UAE, emphasizing that he is not a flight risk. But prosecutors have expressed concerns about the possibility of Mr. Zhao returning to the United States to be sentenced. They cited his considerable financial resources, powerful connections in the UAE and difficulties associated with extradition as key factors putting him at risk of not returning.