The United States District Court for the Southern District of New York approved a pre-trial settlement of the dispute between the plaintiffs and Konstantin Ignatov, one of the defendants in the $4 billion case that dissolved into the OneCoin cryptocurrency pyramid. The matter is reported by Finance Magnates.
“The plaintiffs and the defendant Konstantin Ignatov wish to end the proceedings between them. The settlement does not constitute a waiver of claims against the other defendants in the case,” the court stated.
The settlement followed Ignatov’s request for more time to respond to the suit.
“If the plaintiffs determine that Konstantin Ignatov has in any way failed to comply with the obligations under this order, the rights of the parties automatically revert to the positions prior to the filing of this order,” the court warned.
Earlier, Forklog reported on the resumption of the legal proceedings, which could have been halted due to the lead plaintiffs Donald Berdo and Christine Grabli’s failure to comply with the required procedures.
Konstantin Ignatov was arrested in March 2019 at Los Angeles International Airport. He subsequently pleaded guilty to several counts.
The U.S. government secured a delay in Ignatov’s sentencing, stating that cooperation with him was not yet complete. Thanks to his testimony, the pyramid’s lawyer, Mark Scott, was found guilty of fraud and money laundering involving $400 million.
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