Fraud trial of Mango Markets exploiter behind alleged $116M theft pushed to April


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Legal professionals representing the $116 million Mango Markets exploiter have satisfied a decide to postpone the fraud trial till April 8, 2023.

Avraham Eisenberg’s fraud trial was set to start on Dec. 4, however a number of circumstances impacted his trial preparations, in response to his legal professionals, who filed a profitable movement for a continuance to district court docket Decide Arun Subramanian on Nov. 2.

“As mentioned in at present’s convention, the movement for continuance is GRANTED. Trial on this case will start on April 8, 2024,” Subramanian stated in a Nov. 3 court docket submitting.

United States prosecutors contested the movement for continuance however had been unsuccessful. Subramanian additionally ordered United States prosecutors and Eisenberg’s legal professionals to submit a revised schedule for pretrial motions and submissions by Nov. 7.

Regardless of confessing his involvement within the Mango Markets exploit, Eisenberg pleaded not guilty to a few legal counts for commodities fraud, commodity manipulation and wire fraud in June.

Subramanian granted Eisenberg’s movement for continuance (in blue writing) on Nov. 3. Supply: CourtListener

Within the movement, Eisenberg’s attorneys stated they wanted extra time to sift by means of discovery supplies submitted by U.S. prosecutors.

“The federal government has produced voluminous discovery on this case on a rolling foundation […] which the protection remains to be analyzing and conferring with the consumer about.”

The legal professionals added that they misplaced time to organize with Eisenberg when he was “unexpectedly” transferred to the Metropolitan Detention Middle (MDC) in Brooklyn on Oct. 26.

Eisenberg wasn’t permitted to switch the invention supplies, which he annotated together with different authorized paperwork related to the trial.

“The transfer to the MDC has already, and can proceed to, severely inhibit protection counsel’s entry to Mr. Eisenberg,” the legal professionals added.

MCD is the jail that former FTX CEO Sam Bankman-Fried returned to after he was convicted on all seven fraud-related charges on Nov. 2.

Associated: How low liquidity led to Mango Markets losing over $116 million

The Securities and Change Fee additionally charged Eisenberg on Jan. 20, alleging that he manipulated the Mango Markets governance token, MNGO, by taking out “large loans” in opposition to its inflated collateral and draining Mango’s treasury of round $116 million.

It adopted Eisenberg’s arrest in Puerto Rico about three weeks earlier on Dec. 27.

Eisenberg publicly confessed to the exploit on Oct. 15, 2022, arguing that his actions were completely legal. He initially despatched again $67 million to Mango Markets’ decentralized autonomous group as a part of a bounty deal. Nevertheless, the staff behind Mango Markets later sued Eisenberg for $47 million in damages plus curiosity.

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