Coinspeaker
Tornado Cash Developer Appeals Dutch Judge’s Jail Verdict
Alexey Pertsev, the core developer behind sanctioned cryptocurrency mixer Tornado Cash, was found guilty a few days ago for his involvement in money laundering. However, he did not agree with the verdict and decided to file an appeal with the Court of Appeals s-Hertogenbosch.
The court has yet to give a verdict on his appeal. Notably, it might take a couple of months before Pertsev’s first hearing will happen if an appeal is finally granted.
Alexey Pertsev Implicated in Tornado Cash’s Money Laundering Case
The Tornado Cash developer’s case has been in court for almost two years. Its struggle started when the US Treasury’s Office of Foreign Asset Control (OFAC) sanctioned the crypto mixer for helping to launder about $7 billion worth of cryptocurrencies. OFAC suspects that the notorious North Korean hacking group Lazarus is one of Tornado Cash’s core clients.
Precisely, Pertsev was accused of failing to take sufficient measures to prevent criminals from using Tornado Cash for money laundering. At first, Pertsev was put behind bars for a few months to allow investigations to take its course.
Later, the court denied him bail and ruled that he should remain in jail until his hearing that took place earlier in April 2023. Judges ruled that Pertsev possesses a high risk of fleeing or interfering with the investigations if freed on bail. In response, Pertsev pled not guilty to the charges levied against him. He stated that Tornado Cash is an open-source code available to anyone with the internet.
Pertsev’s lawyer Keith Cheng was vocal with his argument.
“We had the opportunity to explain the basis for Tornado Cash and why it is not money laundering. It is our opinion that the lack of knowledge is what’s keeping him here. Of course, I’m disappointed that Pertsev won’t be released on bail. He will fight until the end to show the importance of decentralized options, software, and open-source code,” Cheng said.
Tornado Cash Developer Bags 64 Months in Jail
After several back and forths, the Dutch Judge finally ruled this week that the Tornado Cash developer be sentenced to 64 months in prison, equivalent to five years and four months. His lawyers were given approximately two weeks to contest the verdict and plead for a reduced sentence.
Just two days after the jail sentence was pronounced, he lodged the Appeals filing. It is worth noting that Pertsev has the opportunity to request that he await the appeal at home although he was escorted directly to jail on Tuesday after the verdict was given.
The decision of the Dutch Judge sets a precedent for the broad crypto industry, particularly for developers that are associated with platforms like Tornado Cash. Roman Storm and Roman Semenov, co-founders of Tornado Cash, are also facing similar allegations in the country as Pertsev. The Prosecutors argued that they aid criminals in laundering stolen funds and violating sanctions.
