Samourai Pockets’s attorneys have accused federal prosecutors of concealing very important data that might have cleared the crypto mixer of the costs it confronted.
In a Might 5 letter to a Manhattan federal court docket, the attorneys for Samourai co-founders Keonne Rodriguez and William Hill revealed that prosecutors had been knowledgeable by officers from the US Treasury Division’s Monetary Crimes Enforcement Community (FinCEN) months earlier than the costs had been filed.
FinCEN had reportedly informed prosecutors that Samourai Pockets didn’t want a license to function.
“Shockingly, six months later, the identical prosecutors criminally charged Keonne Rodriguez and William Hill with working simply such a enterprise with out a FinCEN license,” the attorneys famous within the letter. The disclosure got here after a yr of suppression, with prosecutors solely revealing the knowledge on April 1, 2025, regardless of a authorized requirement to share it months earlier.
Notable replace within the Samourai Pockets Case: In the present day, devs’ attorneys revealed that regardless of being *explicitly* informed by FinCEN that non-custodial software program comparable to Samourai Pockets is almost definitely not a cash transmitter, DOJ prosecuted the devs anyway… pic.twitter.com/uTms4i99iR
— DeFi Training Fund (@fund_defi) Might 5, 2025
Samourai Pockets Founders Have been Arrested Regardless of FinCEN’s Clear Stance on Authorized Standing
Rodriguez and Hill had been charged in Feb. 2024 with conspiracy to function an unlicensed cash transmitting enterprise and cash laundering conspiracy. The costs had been unsealed and the pair arrested in April. The allegations stem from Samourai’s mixing service, which allegedly helped launder over $100m by means of over $2b in unlawful transactions.
Prosecutors claimed the service aided in transactions involving black market dealings and scammers.
The protection crew identified that FinCEN had knowledgeable prosecutors that Samourai Pockets, which doesn’t maintain custody of cryptocurrencies, didn’t qualify as a “cash providers enterprise” underneath present steering.
Regardless of FinCEN’s Place, Prosecutors Push Ahead with Prices Towards Samourai Pockets
This data got here after a dialog between prosecutors and FinCEN officers, together with Kevin O’Connor and Lorena Valente.
They thought of whether or not Samourai met the factors for a cash transmitter. The officers famous that Samourai didn’t take custody of crypto. Subsequently, it doesn’t management the personal keys to any saved property. This advised that Samourai was not working as a cash providers enterprise.
Regardless of this, prosecutors proceeded with the costs, arguing that Samourai might nonetheless be accused of useful management over the cryptocurrency. Nevertheless, FinCEN had not addressed this argument of their official steering, and it was thought of a weak place by the officers.
Samourai Legal professionals Demand Listening to Over Delayed Disclosure and Name for Case Dismissal
Now, Samourai’s attorneys are looking for a listening to to analyze the delay in disclosure. They need to decide an acceptable treatment.
If the federal government resists dismissing the case, the protection will renew their request for dismissal. They argue that the costs had been introduced with out truthful discover. The protection additionally claims the corporate acted in good religion primarily based on the accessible steering on the time.
Additional, the protection crew pointed to a latest memo from Deputy Lawyer Basic Todd Blanche. The memo said that the Justice Division would now not prosecute crypto mixers like Samourai for regulatory violations.
Issued on April 7, 2025, the memo prompted the protection to demand that the case be dismissed. They argued that, underneath FinCEN’s steering, Samourai was not a cash transmitter and couldn’t be prosecuted for missing a license.
The end result of the listening to might influence the broader trade. It’s particularly necessary for builders of non-custodial platforms like Samourai Pockets. If profitable, it might set a precedent for a way crypto mixers are regulated sooner or later. This may significantly have an effect on their classification underneath US monetary legal guidelines.
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