Binance
founder
Changpeng
“CZ”
Zhao
poses
“no
risk
of
flight”
and
should
be
allowed
to
return
to
the
United
Arab
Emirates
for
now,
a
Thursday
filing
said.
The
partially
redacted
document
pushed
back
against
a
U.S.
Department
of
Justice
filing,
arguing
that
Zhao
should
not
be
allowed
to
leave
the
U.S.
ahead
of
his
February
sentencing
after
pleading
guilty
to
one
charge
of
violating
the
Bank
Secrecy
Act.
Zhao
has
already
demonstrated
he
won’t
be
a
flight
risk
by
the
very
fact
that
he
came
to
the
U.S.
to
enter
that
plea,
his
attorneys
argued.
The
Magistrate
Judge
overseeing
his
case,
Judge
Brian
Tsuchida,
already
agreed
that
Zhao
showing
up
to
begin
with
is
compelling,
the
filing
said.
“Based
on
all
the
relevant
facts,
including
Mr.
Zhao’s
voluntary
self-surrender,
his
intent
to
resolve
this
case,
and
the
sizable
bail
package
he
proposed,
Judge
Tsuchida
found
that
Mr.
Zhao
presents
no
risk
of
flight,
even
while
residing
in
the
UAE,”
the
filing
said.
Binance
pleaded
guilty
to
multiple
charges
alongside
Zhao
earlier
this
week,
agreeing
to
pay
a
massive
$4.3
billion
fine,
appoint
monitors
to
oversee
its
compliance
program
and
review
its
past
transactions
and
accept
Zhao’s
resignation
as
CEO.
Former
Binance
regional
markets
head
Richard
Teng
has
taken
over
as
CEO.
Zhao
was
released
on
a
$175
million
personal
recognizance
bond
on
Tuesday.
Still,
his
attorneys
and
the
DOJ
have
been
arguing
over
whether
he
can
return
to
the
UAE,
where
he
is
a
citizen
and
where
his
family
lives,
or
if
he
must
stay
in
the
U.S.
If
Zhao
returns
to
the
UAE,
he
must
come
back
to
the
U.S.
two
weeks
before
sentencing.
The
DOJ
argued
that
Zhao
could
afford
to
lose
the
$15
million
he
put
in
a
trust
account
and
$5
million
his
guarantors
put
up.
Zhao’s
attorneys
said
this
argument
ignores
the
financial
commitment
he
and
Binance
made.
Other
DOJ
arguments
similarly
ignore
everything
Zhao
has
already
done,
they
said,
such
as
flying
to
the
U.S.
to
begin
with.
“Against
the
weight
of
all
this
information
and
Judge
Tsuchida
consideration
of
it,
the
government
provides
no
meritorious
–
or
additional
–
basis
to
insist
that
Mr.
Zhao
remain
in
the
United
States
away
from
his
family
for
months
between
his
plea
and
sentencing,”
the
filing
said.
Zhao’s
sentencing
is
currently
scheduled
for
Feb.
23,
2024.
He
faces
a
potential
18-month
prison
term
and
agreed
to
pay
a
$50
million
fine
in
his
plea
agreement.