Court Grants Bail Pending Appeal to Convicted OneCoin Launderer

On Thursday, April 18, 2024, the United States District Court for the Southern District of New York granted bail pending appeal to Mark Scott.

Scott had previously been convicted on November 21, 2019, for his role in a global multi-level marketing pyramid scheme called OneCoin. Prosecutors argued that OneCoin falsely marketed itself as a cryptocurrency similar to Bitcoin, but it was not built on blockchain technology and had no real value. Scott helped launder approximately $400 million for OneCoin by setting up offshore investment funds in tax havens and disguising the origin of the funds.

In January 2024, Scott was sentenced to 120 years in prison for conspiracy to commit bank fraud and money laundering. However, Scott maintained his innocence and filed an appeal of his conviction. On March 26, he applied for bail while awaiting the outcome of his appeal.

The court recognized that in order to grant bail pending appeal, it must find that Scott is not a flight risk and not a danger to the community. Although the prosecution argued Scott’s German citizenship increased his risk of flight, the judge determined Scott’s health conditions and lack of violent criminal record made flight or danger unlikely.

In addition, the appeal must raise “substantial questions” of law or fact that could potentially reverse the conviction or result in a new trial. Scott’s appeal cites several claimed errors by the court prior to and during the trial, including the admission of alleged perjured testimony, exclusion of exculpatory evidence, and insufficient evidence for the charges.

While the judge acknowledged the appeal’s likelihood of success was low, the issues were found to be sufficiently serious and integral to the conviction that a ruling in Scott’s favor could warrant overturning both charges. For these reasons, the court granted bail pending the appeal, which will be heard by the Second Circuit Court of Appeals. The decision allows Scott to remain out of prison as the appellate process plays out.

Please contact BlockTribune for access to a copy of this filing.