The court denied the government’s request to halt the Binance’s Deal.
Judge Wiles confirmed that the current stay end on March 20.
The District Court of New York denied the government’s request to halt the $1 billion deal bid by Binance to buy up the voyager’s assets. The court stated the delay would harm customers.
The decision to deny the government’s motion was announced on March 15. In it, Judge Micheal Wiles stated that selling billions of dollars in assets to Binance is an effort to regain liquidity and pay back the customers.
The court denied the government’s request for a stay of the confirmation order. The appeal has filed on March 14, which accused the bankrupt plan of avoiding tax, theft, or immunizing fraud. It also demanded to remove the provision and prevent the U.S. authorities involving in the deal.
The U.S. Attorney Damian Williams had an argument that the deal should be struck down or amended. Moreover, it seems to be effectively absolving Voyager, and its staff of securities laws or violations of tax.
Account Holders in Favor of the Deal
Judge Wiles added that these accusations are exaggerating, and mischaracterizing and ruled to continue the bankruptcy plan. However, he confirmed that the current stay shall end on March 20. Wiles permitted the trading platform to close the Binance U.S. sales issue. And they need to repay the tokens to the impacted Voyager customers.
Judge Wiles rejected the arguments stated by the securities exchange commission that the redistribution of funds from Voyager to Binance will violate U.S. securities laws. The decision came after 97% of 61,700 voyager account holders voted in favor of Binance. And the plan may result in the Voyager creditors recovering approximately 73% value of their funds.