Three news to start your week: April 29
US seeks three-year prison sentence for ex-Binance CEO Zhao
(Reuters)
Prosecutors in the US are asking for a three-year prison term for Changpeng Zhao, the founder and former CEO of Binance. He pleaded guilty to breaking laws against money laundering.
In a filing in Seattle federal court, prosecutors argued that a sentence exceeding the recommended 18 months would underscore the severity of Zhao's deliberate infractions and serve as a clear deterrent against non-compliance with the law.
Zhao resigned as Binance's chief in November after he and the exchange acknowledged their evasion of anti-money laundering requirements under the Bank Secrecy Act, which resulted in a $4.32 billion criminal penalty for Binance.
Former SNC-Lavalin executive sentenced to prison term in bridge bribery case
(Financial Post)
A former top executive of SNC-Lavalin Group Inc. was sentenced to three and a half years in prison for his involvement in a bribery scheme related to a bridge repair contract in Montreal. Normand Morin, once a high-ranking vice president at the engineering firm, was convicted of corruption and fraud last month and received his sentence last week.
An investigation by the RCMP uncovered that SNC-Lavalin executives paid approximately $2.3 million in bribes to secure a $128-million contract to repair the Jacques Cartier Bridge deck in the early 2000s. Additionally, Michel Fournier, the former chief executive of the Federal Bridge Corp., confessed in 2017 to accepting these bribes through Swiss bank accounts between 1997 and 2004.
FTC announces rule banning Noncompetes
(FTC)
The Federal Trade Commission has issued a final rule to promote competition and protect workers' freedom to change jobs. By banning noncompete clauses nationwide, the FTC aims to bolster innovation, increase wages, and spur new business formation, thus invigorating the American economy.
FTC Chair Lina M. Khan emphasized the detrimental impact of noncompete clauses on wages, creativity, and overall economic dynamism. She projects that banning noncompetes will unleash a surge of over 8,500 new startups annually, injecting vitality and fresh ideas into the economy.
The FTC's forecast indicates that banning noncompetes will fuel a 2.7% annual growth in new business formation, translating to more than 8,500 additional new businesses established yearly.
