New York Court lifts stay on the lawsuit brought by OneCoin scam victims

Judge Valerie E. Caproni (1) of the New York Southern District Court signed an order lifting the stay on a lawsuit brought by victims of OneCoin cryptocurrency scam. The order was signed on May 1 by the Judge. It follows an appearance by the parties for a teleconference with the Court on Friday. Before May 8, 2020, the parties involved must jointly submit a proposed schedule for the defendants to answer, move to dismiss, or otherwise respond to the complaint.

The plaintiffs had asked the Court not to dismiss the case. 

Earlier, Judge Caproni had threatened to nix the lawsuit. However, the plaintiffs responded to the Court’s concerns promptly, explaining that the Court should not dismiss the action for failure to prosecute. The plaintiffs had further argued that they had invested a significant amount of time and effort into this lawsuit, and completed service on all remaining defendants, and were prepared to proceed with the action lawsuit expeditiously. Anyone who transferred to the OneCoin defendants, directly or indirectly, any fiat or cryptocurrency to invest in OneCoin, are the plaintiffs in this case. 


Onecoin’s lawyer Mark Scott’s sentencing pushed to July. 

Later last month, OneCoin lawyer Mark Scott, who helped the firm launder millions of dollars, managed to push his sentencing date till July. Mark Scott is a former partner at Locke Lord LLP, a Dallas, Texas-based law firm. He was charged in late 2019 for his role in laundering at least $400 million of OnceCoin scam. The Court was supposed to announce its sentence against Mark Scott earlier this year, but the Court postponed the sentencing till July. The lawyer was convicted for his role in the scam with the testimony of OneCoin executive Konstantin Ignatova.  

In August 2019, the Court stayed the lawsuit pending service of all defendants and ordered monthly letter updates from the Lead Plaintiff Donald Berdeaux on the status of service of process and warned against missing these deadlines. Donald Berdeaux posted proof of service via the Court’s approved alternative means for defendants OneCoin Ltd. and Ruja Ignatova, who is still on the run from authorities.