The U.S. Department of Justice continues to file fraud lawsuits against the former CEO of SafeMoon.

The U.S. Department of Justice has confirmed that it will continue to pursue fraud charges against the former CEO of SafeMoon. Although the Justice Department during the Trump era attempted to scale back enforcement actions against cryptocurrencies, this did not prevent federal prosecutors from indicting former SafeMoon CEO Braden Karony. Karony faces fraud charges related to the token's collapse and is expected to go on trial in May, which will be a critical test of whether the Justice Department's new approach can protect executives from past allegations of misconduct. On April 18, federal prosecutors in the Eastern District of New York confirmed that they would proceed with the lawsuit. Karony is charged with conspiracy to commit securities fraud, wire fraud, and money laundering; he has pleaded not guilty and has been out on bail of $3 million since February. On April 10, the SafeMoon CEO again moved to dismiss the lawsuit, arguing that the U.S. Department of Justice had disbanded its cryptocurrency unit.