Lawyer of crypto heist defendant Malone Lam exploring if plea offer is an option

Key Concepts

• Plea Deal: An agreement between the prosecution and the defendant where the defendant pleads guilty to a lesser charge or receives a lighter sentence in exchange for cooperation.
• Crypto Scam: A fraudulent scheme involving cryptocurrencies, often involving theft or misrepresentation.
• Co-defendant: A person accused of committing a crime alongside another defendant.
• Status Conference: A court hearing to discuss the progress of a case and set future dates.
• Pre-trial Hearing: A court proceeding held before a trial to address legal issues and prepare for the trial.
• Evidence Disclosure: The process by which the prosecution shares evidence with the defense.
• Testimony: A formal written or spoken statement, especially one given in a court of law.

Malone Lam Case: Plea Deal Possibilities and New Charges

This report details the ongoing legal proceedings against 20-year-old Singaporean Malone Lam, who is accused by US prosecutors of leading a crime ring responsible for stealing cryptocurrency valued at over $265 million. The start of his trial was postponed last week due to new charges. His newly appointed lawyer is actively seeking more information from federal prosecutors to explore the possibility of a plea deal.

Court Proceedings and Defendant's Appearance

Malone Lam appeared in Washington D.C.'s federal court on Thursday for a status conference. He was seen in a dark green prison jumpsuit and black-rimmed glasses, maintaining a passive demeanor throughout the brief procedural hearing. One co-defendant was present in court, while two others participated via video conference.

Allegations and Scale of the Crime

Lam is accused of masterminding a criminal operation involving 12 other individuals, resulting in the theft of cryptocurrency worth more than $265 million. Prosecutors allege that Lam engaged in extravagant spending sprees, including:

• Nightclub Expenses: Approximately $4 million spent in nightclubs, with $500,000 spent in a single night.
• Luxury Vehicle Fleet: Purchase of a fleet of luxury cars valued at $9 million.
• Victim Loss: One alleged victim in Washington D.C. was defrauded of 4,100 bitcoins, which at the time of the theft were valued at over $245 million.

Modus Operandi of the Gang

The gang reportedly funneled money across the country to associates who concealed funds by hiding up to $50,000 at a time in cash within Squishmallow stuffed toys.

Plea Deal Negotiations and Legal Strategy

Lam had previously pleaded not guilty to the initial charges and had rejected a plea offer from the prosecution. However, following a change in legal representation, his new legal team informed the judge on Thursday that Lam was not privy to the previous plea offer and had not seen its details. Judge Kolen Kola Catali inquired about the prosecution's willingness to offer another plea deal, to which the prosecutor responded by stating he would discuss the matter separately with Lam's lawyer.

Co-defendant's Guilty Plea and Testimony

In June, one of the two alleged co-defendants in the theft of the 4,100 bitcoins, 19-year-old Via Cheetel from Danbury, Connecticut, pleaded guilty. Cheetel has now agreed to testify against Lam and faces a potential sentence of up to 24 years in prison.

Next Steps and Potential Trial Timeline

Over the next month, Lam's legal team will review the evidence newly shared by prosecutors, some of which was provided only in the last few days. Lam is scheduled to return to court on November 18th for his next pre-trial hearing. At this hearing, the judge expects to determine if the case will proceed to trial and, if so, when. Lam's lawyer, John Pierce, has indicated to CNA that a trial date could potentially be set for next summer.

Conclusion

The case against Malone Lam is at a critical juncture, with the defense actively exploring plea deal options following the introduction of new charges and evidence. The cooperation of a co-defendant and the ongoing review of evidence will significantly shape the future proceedings, with a potential trial date anticipated for next summer.