Tornado Cash Judge Will Not Permit Van Loon Verdict to Be Discussed During Upcoming Trial

Judge Katherine Polk Failla, overseeing the criminal case against Tornado Cash developer Roman Storm, ruled that the Van Loon vs. Department of the Treasury case will not be discussed during Storm’s trial, scheduled for July 14th in Manhattan. This decision came during a final pre-trial conference addressing motions in limine, focusing primarily on witness testimony admissibility.

The hearing involved extensive debate between the prosecution and Storm’s defense team regarding the inclusion of evidence and arguments. While the judge reserved decisions on several motions until later this week, she firmly prohibited any mention of the Van Loon case, which challenged the legality of the Treasury Department’s Office of Foreign Asset Control (OFAC) sanctioning of Tornado Cash. OFAC ultimately delisted Tornado Cash in March following a Texas court ruling declaring the sanctions unlawful.

Judge Failla expressed concern that introducing the Van Loon case would confuse the jury. While Storm’s defense prefers excluding any discussion of the OFAC sanctions, prosecutors argue that doing so would hinder the presentation of crucial evidence, including Storm’s actions following the sanctions – such as Google searches, TORN token sales, and relinquishing control of Tornado Cash. These actions are central to the prosecution’s case.

Although not a formal ruling, Judge Failla also advised both parties to minimize references to North Korea’s weapons of mass destruction (WMD) program. The government contends that Tornado Cash facilitated money laundering for the Lazarus Group, North Korea’s state-sponsored hacking group, making this connection a key element of their argument.

The trial, initially projected to last two weeks, is now anticipated to extend to a full month. The proceedings will center on the admissibility of evidence related to Storm’s actions after the OFAC sanctions and the alleged connection to North Korea, while strictly avoiding discussion of the separate Van Loon case.