Samourai Wallet developers Keonne Rodriguez and William Lonergan Hill faced a status conference in the Southern District of New York court, marking their first public appearance since being charged by the U.S. Department of Justice (DoJ) with conspiracy to commit money laundering and running an unlicensed money transmitting business.
This comes after a series of discoveries by the prosecution, while the defense contests evidence sufficiency.
Their appearance marks a critical juncture in legal proceedings as it was the first since the charges were announced in April 2024. Despite this, it was only Rodriguez's second and Hill's first court appearance since earlier bail proceedings.
The prosecution began by detailing the discovery process. An initial batch, released in June 2024, included business documents and correspondence. A second batch in August brought forth data from seized devices—15 from Rodriguez and 25 from Hill out of a greater total. A third set of discoveries, described as modest, is forthcoming, signaling readiness for trial proceedings.
A contentious issue emerged when Rodriguez’s attorney posited a premature decision on trial dates, citing the defense's inability to thoroughly examine the extensive August discoveries. With 8 terabytes of data, equivalent to 75% of the Library of Congress, the defense highlighted the challenge of review. Hill’s counsel further alleged inconsistencies in the DoJ’s interpretation of regulatory statutes, referencing a dissenting opinion from Senators Lummis and Wyden.
Consequently, a dismissal motion was introduced but denied; the court scheduled the next hearing for December 17, 2024.
In a later segment, Rodriguez's legal team pursued adjustments to bail conditions: lifting home detention and revising cryptocurrency transaction limitations. Part of these proceedings aimed to enable Rodriguez to finance his defense with proceeds from Samourai operations. They argued that home detention is overly restrictive given Rodriguez’s risk assessment. However, the prosecution opposed based on the prosecution’s depiction of Rodriguez's escape plans involving various travel documents and crypto assets.
Despite defense claims of those plans being emergency protocols, the prosecution remained firm, seeing them as an active escape strategy. The judge ultimately upheld current bail terms, urging progress on the trial.
Supporters can contribute to Rodriguez and Hill's legal costs through the Bitcoin Policy Institute's P2P Rights Fund.