Celsius founder Alex Mashinsky has been sentenced to 12 years for his role in Celsius’ token manipulation, but won’t be imprisoned until after his daughter’s wedding.
That’s according to coverage from Matthew Russell Lee, representing Inner City Press. Judge Koeltl sentenced Mashinsky and ordered him to forfeit $48 million and nine properties.
Before the sentencing, Lee reported that Judge Koeltl agreed to let Mashinsky go to Tennessee later this month to attend his daughter’s wedding in Memphis.
Approving this request means he won’t be remanded until September 12.
Mashinsky’s lawyers argued that “a 15-year sentence for a 60-year-old combat veteran would be too much,” and that his deeds are not comparable to other crypto scams like OneCoin.
Indeed, Mashinsky served in the Israeli army for three years before moving to the United States.
Read more: Celsius founder Alex Mashinsky wants to delay fraud sentencing
Mashinsky was reduced to tears during the sentencing while claiming he tried to protect his community. He said, “I never wanted to hurt anyone. I know victims want to see me punished.”
Earlier this month, Mashinsky’s legal team argued for one year and one day in prison, claiming that a 20-year sentence was a “‘death-in-prison sentence” and that his non-criminal record should be taken into account.
However, prosecutors claimed his criminal behavior was “deliberate” and “calculated,” and that despite inflicting “catastrophic financial and emotional harm on thousands of victims,” he still refuses to acknowledge what he did.
Addressing the judge, Celsius victims said, “People’s lives have been ruined. Some have died waiting for justice. [Mashinsky] wants to attend a wedding? Has he gone to funerals?”
“We’re told he is writing a book about gravity. He seems to not get the gravity of what he has done,” one said, while another added, “I never imagined the CEO would lie like this. I wish the company did not exist.”
Prosecutors requested a minimum of 20 years “to reflect the seriousness of the offense, promote respect for the law, provide just punishment, and afford effective deterrence.”
Read more: Ionic restarted Celsius’ crypto miners and is already facing a lawsuit
When handing down the sentence, Judge Koeltl said, “There are mitigating factors. He was a refugee. He has a distinguished military career in the Israeli army, including being wounded.
“A substantial sentence is still necessary for just punishment. I sentence you to 144 months or 12 years.”
Mashinsky pleaded guilty last December to two counts of fraud involving the manipulation of Celsius’ CEL token. He also agreed to a plea deal that bars him from appealing any sentence that is 30 years or less.
