A federal judge has ordered the OneCoin class-action lawsuit to move forward, overruling objections from two defendants who wanted the case frozen while they face criminal proceedings.

The decision came May 1st after plaintiffs convinced the court that a key condition for the stay—serving all remaining defendants—had been satisfied. In a joint letter filed April 28th, both sides laid out their positions. Plaintiffs wanted to resume the case. Two defendants wanted to pump the brakes.

Mark Scott and David Pike, both members of OneCoin's money laundering operation, argued the lawsuit should wait until their criminal cases concluded. Scott was convicted of fraud last November and faces sentencing July 14th, barring medical delays. Pike is cooperating with the Department of Justice and is expected to plead guilty at some point.

The judge disagreed. After holding a telephonic hearing on May 1st, the court lifted the stay the same day. The lawsuit will proceed despite Scott's and Pike's objections.

Nicole Huesmann, a Florida attorney who allegedly helped Scott launder OneCoin funds through Mumbelli Group, took a different approach. She argued the New York court hearing the class-action lacks jurisdiction over her and took no position on whether the stay should be lifted—a legal tactic to avoid submitting to the court's authority.

Konstantin Ignatov, the former head of OneCoin who operated behind his sister Ruja, did not object to continuing the stay but was similarly overruled.

The court has given plaintiffs until May 8th to submit a proposed schedule for moving the case forward. OneCoin, the cryptocurrency scheme that defrauded investors of billions, has already ensnared multiple executives in the criminal justice system. The civil litigation now accelerates on a parallel track, with victims pursuing damages through the courts while criminal cases work their way through the system.

🤖 Quick Answer

What is the current status of the OneCoin class-action lawsuit?
The federal court has lifted the stay order on May 1st, allowing the class-action lawsuit to proceed. The judge ruled that the condition for the stay—serving all remaining defendants—had been satisfied, overruling objections from defendants Mark Scott and David Pike who sought to pause proceedings during their criminal cases.

Who opposed the resumption of the OneCoin lawsuit?
Mark Scott and David Pike, both involved in OneCoin's money laundering operations, opposed the case's continuation. Scott faces sentencing in July after his November fraud conviction, while Pike cooperates with the Department of Justice in his ongoing criminal proceedings.

What was the main argument for staying the lawsuit?
The two defendants argued the class-action should remain frozen until their respective criminal cases concluded, contending that proceeding simultaneously would prejudice their legal positions and complicate their defense strategies in

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