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CRIME

France launches money laundering probe into crypto giant Binance

French prosecutors announced on Friday they had opened an investigation into Binance, the world's largest cryptocurrency exchange, over allegations of unlawful commercial practices, including "aggravated money laundering".

Binance, Crypto
Cryptocurrency exchange Binance faces a legal investigation in France after allegations that it engaged in illegal commercial practices. Photo by Justin SULLIVAN / Getty Images via AFP

The probe, led by the Paris prosecutor’s office, will look into allegations the French arm of Binance traded illegally in digital assets as well as a separate charge of “aggravated money laundering”, a statement said.

Le Monde newspaper, which first reported the probe, said the company is suspected of failing to respect obligations to ensure its clients were not using the platform for money laundering.

The news follows a move from the US Securities and Exchange Commission which announced this month that it had charged the crypto giant with securities law violations that it said amounted to “an extensive web of deception” and “calculated evasion of the law”.

Binance said afterwards that it was halting US dollar deposits and encouraged clients to withdraw their dollars by early next week.

READ ALSO: Do you pay tax on cryptocurrency in France and if so, how much?

Referring to the French allegations, the company said on Twitter that it had had an “on-site visit last week by the relevant authorities”.

“Binance invests considerable time and resources into cooperating with law enforcement globally. We abide by all laws in France, just as we do in every other market we operate,” it added.

The platform, created in Shanghai in 2017, has cornered much of the crypto-trading market, turning its globe-trotting founder Changpeng Zhao into a billionaire.

But it has long been accused of facilitating money laundering, setting up complex structures to avoid regulation, and busting sanctions – claims it denies.

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CRIME

French cinema boss on trial for sexual assault

The head of France's top cinema institution Dominique Boutonnat denied sexually assaulting his godson as he went on trial Friday in a case that has led to calls for him to step down.

French cinema boss on trial for sexual assault

The trial comes as French cinema reels from a renewed #MeToo reckoning that has seen several big names, including acting legend Gerard Depardieu, accused of sexual abuse.

READ ALSO: French actor Gérard Depardieu to be tried for sexual assault in October

Activists have denounced Boutonnat’s continued leadership of the National Centre of Cinema (CNC), whose role includes overseeing measures to curb sexual violence in the industry.

His godson accuses him of trying to masturbate him during a holiday in Greece in 2020 when he was 19.

“I looked at him to find my godfather and that’s when I saw someone completely different… It was someone using me to masturbate,” the godson, who cannot be named for legal reasons, told the court.

Boutonnat responded in court that it was his godson who had initiated the situation and kissed him.

“I feel bad about leaving an ambiguous situation, but to say there was a sexual assault is false,” he told the court.

He was placed under investigation in February 2021 but still reappointed by the government as head of the CNC in July 2022.

Training to prevent abuse has in recent months become obligatory for films seeking public funding via the CNC.

The CNC told AFP that the case against Boutonnat came from “the private sphere” and had no relation to its activities.

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