As bits and pieces of the US DOJ case against OneCoin and its executives are unsealed, we’re getting a clearer picture of where the case is at.

In a recent filing concerning
potentially privileged information
, a previously sealed order has revealed the New York court’s position on the DOJ’s evidence.

The
revealing order
was made back in July 23rd, in response to a DOJ filing requesting permission to “apply a crime-fraud exception” to otherwise privileged communications.

The communications in question are between OneCoin, OneCoin related companies, its executives, insiders and attorneys.

As discussed in the motion, the court observed;

For the crime-fraud exception to apply, the Government must show that there is probable cause to believe that

(1) a fraud or crime has been attempted or committed, and

(2) the communications or materials in question were in furtherance of the fraud or crime.

The Government claims that it easily satisfies its burden that there is probable cause … specifically both wire fraud and money laundering.

The indictments and complaints establish

(1) probably cause that OneCoin is an illegal pyramid fraud scheme

(2) that (Mark) Scott and (Ruja) Ignatova participated in a money laundering conspiracy with the object of money laundering OneCoin fraud proceeds, and

(3) that (Mark) SCott engaged in the laundering of approximately $400 million in proceeds from the OneCoin scheme from approximately 2016 and 2018.

Finally, the evidence shows that the OneCoin parties, including (Ruja) Ignatova herself, and International Marketing Strategies Limited sought and obtained legal advice from (Mark) Scott; that Scott established the MSSI/Fenero entities to launder hundreds of millions of dollars for OneCoin; and that the Receiving Entities facilitated transactions furthering the money laundering scheme.

After a full review of the relevant indictments, complaints and the parties’ submissions, the Court agrees.

While the order isn’t a judgement, at the very least it should be clear that the evidence the DOJ has collected thus far is 
compelling
.

Compelling enough that the court the case is being heard in already agrees “OneCoin is an illegal pyramid fraud scheme”, and that the laundering of hundreds of millions of dollars took place.

Really makes you wonder what’s in all the other currently sealed case filings hey.

🤖 Quick Answer

What is the crime-fraud exception mentioned in the OneCoin case?
The crime-fraud exception is a legal doctrine that allows courts to override attorney-client privilege when communications are made in furtherance of fraud or crime. In the OneCoin case, the US DOJ sought to apply this exception to access privileged communications between OneCoin executives and their attorneys, claiming evidence demonstrates illegal money laundering activities.

What did the New York court determine regarding OneCoin evidence?
The New York court agreed that the DOJ presented probable cause demonstrating OneCoin engaged in fraud and criminal activity. The July 23rd unsealed order revealed the court's position that sufficient evidence existed to potentially apply the crime-fraud exception to previously protected attorney-client communications involving OneCoin executives and associates.

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