The broader stock indices are negative as the clock ticks toward the close but just barelyThe broader stock indices are negative as the clock ticks toward the close but just barely
Will It Find Support or Slide Further?Will It Find Support or Slide Further?
The United States District Court is actively seeking the immediate detention of Braden John Karony, CEO of SafeMoon, amidst serious allegations of fraudulent schemes and financial crimes.

In a letter to Judge Eric R. Komitee of the Eastern District of New York, the government outlined the charges against Karony. These include securities fraud, wire fraud, and money laundering. The charges stem from activities conducted through SafeMoon, a crypto issuer of digital SAFEMOON Tokens, or SFM, during 2021-2022.

Braden John Karony, CEO of SafeMoon, is accused of diverting and misappropriating tens of millions of dollars from victims for personal gain. Given Karony’s significant foreign ties and ability to access cryptos globally, the government argues that he poses a “grave risk of flight and danger to the community.”

Since April 2021, Karony has primarily resided in the United Kingdom. But he has traveled to other international locations, further heightening the risk of his fleeing.

“[Karony] can access digital assets and dissipate victim funds from anywhere in the world, [so] he is a grave risk of flight and danger to the community. Therefore, he should be detained pending trial,” the letter reads.

The government’s letter emphasizes the severity of the crimes. It also highlights the potential for Karony to face up to 45 years in prison if convicted on all counts. This, according to the US government, further increases the risk of flight.

Read more: 15 Most Common Crypto Scams To Look Out For

The nature of Karony’s alleged conduct indicates that he is a danger to the community. He is accused of serially defrauding investors and using these crimes to fund a lavish lifestyle. The government fears that, if released, he may continue committing crimes to sustain his lifestyle. Subsequently, he may dissipate funds that could serve to restitute victims.

“When confronted with public statements questioning the legality of SafeMoon’s conduct, and specifically the misappropriation of assets from the liquidity pools that the defendant had told investors would be “locked,” [Karony] doubled down on his fraud by lying to investors about what he was doing in public statements,” the letter reads.

Furthermore, the nature and scale of Karony’s offense, involving more than $300 million in losses to investors, underscore his danger to the community. His continued involvement in the dissipation of assets would hinder the ability of victims to obtain restitution.

Following the charges against SafeMoon CEO, the price of SFM crashed 70% and continues to trade at nearly all-time lows.

SafeMoon Price Performance
SafeMoon Price Performance. Source: TradingView

The overwhelming evidence, including blockchain analysis and communications among the SafeMoon CEO Braden John Karony and his co-conspirators, strongly supports the charges.


In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content.

Source link

About the Author: Editorial team of BIPNs

Main team of content of Any type of content should be approved by us.

Share your opinion. And leave a reply within the comments from below.

All Crypto Coins here »