The U.S. government intends to blame Ethereum developer Virgil Griffith on claiming that he helped North Koreans better understand how cryptocurrencies could be used to circumvent financial sanctions imposed on the nation.
Griffith allegedly helped North Korea bypass US sanctions thanks to cryptocurrencies
Griffith, who was arrested in November 2019 on conspiracy charges for assisting North Korea (DPRK) in using cryptocurrency to its advantage, is attempting to dismiss the case against him.
While United States District Judge Fr. Kevin Castel, of the Southern District of New York, handed down a handful of sentences on minor points of the case. A full trial has been tentatively scheduled for September 2021.
According to the government complaint, Griffith traveled to Pyongyang to speak at a blockchain conference last April despite being denied permission by the US government.
This is the first case involving cryptocurrency (here the quotation in real time) and penalties to be faced in US courts. In October, Griffith's representatives filed a motion to dismiss the charges leveled against him.
The motion argued that Griffith's transmission of public information about blockchain technology to North Koreans did not amount to providing a service to the nation, and the government's allegations did not specify the facts.
Process postponed to September 2021
Although Judge Castel did not rule on the motion to dismiss the charges against Griffith, numerous other orders were issued. Judge Castel upheld a motion by the defendants to oblige the disclosure of information that the Office of Foreign Assets Control (OFAC) may have collected on the Griffith case based on initial communications between the FBI and OFAC that took place on or after 24 October 2019 until today.
"In general, when the prosecution conducts a joint investigation with another state or federal agency, the courts in this circuit believe that the prosecutor's duty extends to reviewing the materials held by that other agency for the rule. Brady, ”Judge Castel said.
The Brady Rule requires the prosecution to disclose any information held by the government that could clear someone of guilt charges. The judge denied a motion by the defendant to reveal the identity of a witness that the government has yet to confirm.
The government is under no obligation to do so until 30 days before the trial, Judge Castel said. The judge has proposed a series of dates for the trial to begin in September 2021. It has also been decided that Griffith's lawyers will present a letter asking to relax some of the restrictions imposed on the defendant.
"As you know, he has been under very, very strict restrictions," defense attorney Brian E. Klein said, adding that Griffith does not have access to the Internet and cannot leave his home. Both sides were ordered to submit a letter to the court by December 30 this year if they had objections to starting a trial in September 2021.
