Elizabeth Warren Accuses Binance of Lying to Congress in DOJ Investigation Request.

Senator Elizabeth Warren, who has long been skeptical of crypto, is requesting that US Department of Justice Attorney General Merrick Garland investigate whether Binance provided false information to Congress.

Warren, a Democrat from Massachusetts, and Senator Chris Van Hollen, a Democrat from Maryland, assert that Binance may have violated the law when it told lawmakers that Binance and Binance.US were separate entities and that Binance.US prioritized regulatory compliance.

These two issues were at the forefront of the 13 charges brought by the US Securities and Exchange Commission this week.

The SEC claimed that Binance and its CEO Changpeng Zhao secretly controlled Binance.US behind the scenes and misled investors about the “non-existent” trading controls on the US platform.

“This is a serious matter,” the lawmakers wrote to Garland on June 7th. “In this case, a bipartisan group of senators was seeking information on the cryptocurrency industry in order to inform an ongoing legislative process and determine whether new laws are needed to address the risks from cryptocurrencies and cryptocurrency exchanges – and it appears that Binance and Binance.US undermined this important investigation and the legislative process by providing false and misleading information to Congress.”

An investigation could result in fines and imprisonment under federal law, according to Van Hollen and Warren.

The letter

In March, the two senators wrote to Zhao, Binance, and Binance.US to inquire about the companies’ structure, compliance with anti-money laundering and know-your-customer laws, as well as the relationship between Binance and Binance.US.

Binance, in a letter signed by now Binance Communications Officer Patrick Hillmann, asserted that Binance and Binance.US were separate.

“Though both Binance.com and Binance.US are ultimately owned by CZ and CZ is a board member of Binance.US, Binance.com and Binance.US are separate entities—contrary to suggestions in public reporting. Binance.US is not a subsidiary of Binance,” Hillman wrote in the letter.

Binance did not immediately respond to a request for comment.

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