Legal

Ex-Celsius CEO Mashinsky Must Face Civil Fraud Suit in New York

Mashinsky also faces federal criminal charges in New York
The former CEO has denied wrongdoing; claims NY got it wrong

Alex Mashinsky exits court in New York on July 25. — Alex Mashinsky exits court in New York on July 25.
Photographer: Yuki Iwamura/Bloomberg

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By Erik Larson and Ava Benny-Morrison

August 4, 2023 at 8:37 PM UTC

Updated on

August 4, 2023 at 10:03 PM UTC

This article is for subscribers only.

Former Celsius Network Ltd. Chief Executive Officer Alex Mashinsky, whose once high-flying crypto lender went bankrupt last year, was ordered by a New York judge to face a civil fraud lawsuit filed by New York’s attorney general.

A court order issued Friday denied Mashinsky’s motion to dismiss the suit by New York’s top law enforcement officer, Letitia James, who brought the case about six months before the former CEO was hit with federal criminal charges.