The Superior Court of Justice (STJ) denied the request for freedom to Cláudio José de Oliveira, self-styled “King of Bitcoin”.
This is the second court decision on him in less than a month, as the Regional Court of the 4th Region (TRF4) denied his Habeas Corpus claim in late October 2021.
Founder of Grupo Bitcoin Banco, which had brokers such as Negocie Coins, Tem BTC, among others, Claudio is accused of creating a financial pyramid scheme with a coup in the financial market.
In order to run his companies, he promised investors a unique opportunity in the market, which was called infinite arbitrage. Thus, clients of the group’s brokers could always buy Bitcoin for a price at one broker and sell at another, earning part of the deal.
However, the Federal Police started to investigate the company that was in the judicial recovery process and registered that a fraud was in operation. Thus, Operation Daemon was launched against the group, arresting Cláudio Oliveira on July 5, 2021, two years after the company suspended withdrawals from customers.
STJ denies freedom to false “King of Bitcoin”
After having his freedom request denied in TRF4, Cláudio Oliveira’s defense went to the STJ, in search of a habeas corpus in the court responsible for interpreting federal legislation in Brazil.
The case ended up in the hands of Minister Reynaldo Soares da Fonseca, current president of the Third Section of the STJ, who pointed out that the defendant has several crimes imputed to him, including the leader of a criminal organization.
“It is inferred from the case file that the patient was denounced for embezzlement, bankruptcy crimes, crimes against the national financial system and crimes against the popular economy, in addition to a criminal association and criminal organization, as leader of an alleged trading platform bitcoin that would have harmed customers in a possible “pyramid” scheme, continuing to appropriate, embezzle and hide assets during the judicial reorganization process, in addition to withholding, omitting and providing information known to be false in order to mislead the judge, the Public Ministry, creditors and the trustee.”
Claudio’s defense alleged that his arrest was illegitimate, as he was a first offender and not being charged for crimes involving violence. In the petition requesting the freedom of the “King of Bitcoin”, his lawyers even argued that there is no reason to keep him imprisoned yet.
Thus, the minister analyzed the case and understood that the defense did not present all the necessary arguments to make it possible to understand the case. Citing art. 210 of the RISTJ, Reynaldo rejected the request for habeas corpus, keeping Cláudio Oliveira in prison.
The decision was forwarded to the Federal Public Ministry for inspection and published by the STJ in its Diário da Justiça on Monday (8).