- The prosecutor said that the “marriage” of the two brands will save Voyager from liability
- Authorities want to first investigate past violations of the company
The epic with the Voyager-Binance.US deal for $1 billion received a new continuation. US Department of Justice declaredthat it should be postponed.
Last week, a local court allowed the purchase of the company’s assets, finding no threat to investors in the deal. This trial has been going on since last summer and caused a lot of controversy.
But the US Office of Trustees filed an appeal against the decision. They fear the deal will free Voyager from liability for violations of tax or securities laws. They also criticized the company’s proposed restructuring plan, calling it unprofitable for investors. In general, the decision of the court to allow the transaction caused a lot of criticism from officials from the SEC. Especially against the backdrop of the US total distrust of the crypto industry.
Prosecutor Damian Williams used a vivid wedding metaphor in his decision:
“The court cannot tell the government to speak now or shut up forever before Voyager and Binance.US get married. Nothing in the Bankruptcy Code allows the courts to indemnify parties from liability to the state for past or future actions.”
The prosecutor ordered a delay in the deal, or at least the implementation of those parts of it that would limit the government’s ability to enforce the law. The appeal must then be considered by the higher courts.
