The Department of Justice has challenged Eddy Alexandre’s suggested amendment to the bail terms letter.
The lost millions in crypto Alexandre is suspected of stashing away is, as expected, a major issue.
According to the DOJ’s response to objection filing on May 24th, Alexandre, a Haitian national, scammed investors in his company, EminiFX, out of more than $59 million. Alexandre declined to furnish pretrial services or the court with any information about his bank accounts, including his cryptocurrency assets, after his arrest on May 12, 2022. Alexandre continues to omit any information about the unaccounted-for investor funds in his latest move. The Court simply cannot have confidence that (a) Alexandre lacks the resources to pay for private security at his residence, as is currently required under Judge Parker’s conditions; or (b) Alexandre does not pose a flight risk without the guard condition due to his access to substantial undisclosed assets and his status as a foreign national. Alexandre recently informed his investors that EminiFX has received over $114 million in investor funds. At this time, the Receiver has only discovered and frozen about $61 million in investor funds, leaving up to $53 million in unaccounted for investor funds that Alexandre might obtain and use to avoid punishment.
While Alexandre was not remanded in detention, the DOJ claims that Judge Parker imposed the present limitations because they are “the least restrictive that I believe are appropriate.”
Alexandre claims in his letter that he was unaware of the CFTC’s civil asset freeze during his bail hearing.
The Justice Department disagrees.
Alexandre notes the civil receivership case blocking his assets, but those facts were known to him at the time of the bail hearing.
Indeed, Alexandre’s move for reconsideration The CFTC delivered notice of the civil enforcement action to his former counsel prior to the bail hearing, but bemoans the fact that the asset freeze “got barely passing mention” during the hearing.
I believe what nabbed Alexandre was his inability to fulfill his release charges with stolen investor money. According to my understanding, the DOJ asked that question orally during the hearing. When granted, Alexandre and/or his lawyers may not have completely comprehended what it entailed. It makes no difference in any case. As a result, alleged criminals are often prohibited from the use of disputed assets to pay for their legal defense, which, in turn, covers any costs associated with their release pending trial.
The DOJ is concentrating its efforts on Alexandre’s concealment of EminiFX investor funds. The Department of Justice points out that neglecting to report the payments is a release condition violation in and of itself.
Even if Alexandre could meet the standard for a move for reconsideration on the facts as they stand, the Court should require a comprehensive accounting of his current holdings before releasing him on bond.
Such information is often provided during the production of a pretrial report. However, Alexandre declined to provide information about his assets to pretrial services. Despite the fact that Alexandre was instructed by Judge Parker to give details regarding his bitcoin assets as a bail requirement, he has refused.
“What about the rest of the world?” asked our readers in response to Alexandre’s willingness to consent to extradition from Haiti.
“Extradition consent”? When corrupt nations will easily accept a bribe and pretend they are unable to identify the fugitive, that will do the DOJ a lot of good.
I tend to agree, and the DOJ has raised this issue as well.
Alexandre’s offer to sign an extradition waiver here provides no additional assurance that if he flees to another country, he will be found, detained, and extradited.
Such ostensible waivers have been found to be unenforceable and effectively useless by a number of courts.
Because any defendant who signs a supposed waiver and then flees will very definitely challenge the waiver’s legality and/or voluntariness and will be able to do so in the jurisdiction of his choice (i.e., the one to which he chose to flee). The Office of International Affairs at the Department of Justice is unaware of any country on the globe that would consider an anticipatory extradition waiver obligatory.
Dubai is the gold standard for MLM scams. Even if it applies to Dubai, authorities there are almost certain to laugh off an anticipatory extradition waiver.
If Alexandre had $53 million in stolen investor cash, that would go a long way toward enabling him to elude justice. At the time of publication, no decision had been reached on Alexandre’s letter motion for a change in bail conditions.