Richard Blumenthal has sent a new letter to the U.S. Department of Justice and the U.S. Department of the Treasury seeking detailed information about oversight measures imposed on Binance following its 2023 guilty plea.
In November 2023, Binance admitted to failing to register as a money transmitting business and breaching U.S. sanctions laws. The company agreed to pay more than $4 billion in penalties and retain an independent compliance monitor for three years. Blumenthal’s latest inquiry specifically asks about the status of that monitor and whether any misconduct reports have been filed since the settlement.
Reports of Iran-Linked Transactions Trigger Renewed Scrutiny
Blumenthal’s concerns follow media reports in early 2026 alleging Binance facilitated billions of dollars in sanctions evasion tied to Iranian entities. The reports claimed two Binance partners, Hexa Whale and Blessed Trust, acted as middlemen enabling transactions involving Iranian government-linked organizations. According to the reports, individuals involved in investigating those transactions were disciplined or dismissed, though Binance has publicly disputed the allegations.
The case also connects to former Binance CEO Changpeng Zhao, who previously served four months in prison related to compliance failures and was later pardoned by Donald Trump.
Requests Sent to Financial Enforcement Leaders
Blumenthal, who serves as the top Democrat on the Senate Permanent Subcommittee on Investigations, also referenced earlier reports suggesting Binance had explored ending its compliance monitoring arrangement ahead of schedule. His latest letters were directed to Andrea Gacki and Todd Blanche, requesting records on the monitor’s work and oversight status. He asked for a formal response by April 24, as regulators continue reviewing Binance’s compliance with the 2023 settlement.
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