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19/12/24
59
Former Crypto Finance VP Sentenced to 4 Years for Embezzling $4.5 Million
A former vice president of finance at a cryptocurrency research firm has received a four-year prison sentence after confessing to embezzling nearly $4.5 million from the company. During a court hearing, Judge Michael P. Shea of the Connecticut District Court ordered Dylan Meissner to serve 48 months in prison, followed by two years of supervised release. In addition, he must repay over $4.6 million, which includes the amount stolen and an unpaid loan.
Although the Justice Department did not disclose the name of the firm, it was confirmed that Meissner held his position at Delphi Digital when he committed the crimes. In a sentencing memo, Meissner’s attorney made references to the company by name, providing further context to the case. Meissner, who served as the vice president of finance from October 2021 until his termination in November 2022, had access to the company’s cryptocurrency wallets and bank accounts.
In January 2022, Meissner secured a loan of 50 Ether (ETH), equivalent to approximately $170,000 at the time. He stated that the loan was aimed at mitigating losses from his personal cryptocurrency investments, but he failed to repay it. Over the course of the year leading up to his dismissal, he misappropriated around $4.46 million from the firm and falsified financial documents to conceal his actions.
As part of a plea agreement reached in July, Meissner pleaded guilty to wire fraud and was initially released on a $100,000 bond. His required reporting date for imprisonment is scheduled for February 21, 2025. The sentencing outcome was less severe than what the prosecution had proposed, which suggested a term of 6.5 to 8 years, while Meissner’s defense sought a shorter period of 4 to 5 years.
The court documents revealed details about Meissner’s struggles with substance abuse, as well as his efforts to maintain sobriety. Nevertheless, prosecutors underscored that his actions represented a calculated scheme rather than an impulsive mistake, arguing that he initially intended to replace the stolen funds when market conditions improved.
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