- The U.S. Department of Homeland Security (DHS) has issued self-deportation orders to the HashFlare founders despite a court directive requiring them to remain in Washington state until sentencing
- Sergei Potapenko and Ivan Turõgin, who pleaded guilty to a $577 million cryptocurrency fraud, received emails warning of legal consequences if they did not leave the U.S. immediately
- The Department of Justice has intervened, coordinating with DHS to defer the deportation orders for a year, allowing the legal process to proceed as planned
Sergei Potapenko and Ivan Turõgin, co-founders of the defunct cryptocurrency mining firm HashFlare, have been ordered by the U.S. Department of Homeland Security (DHS) to leave the country, contradicting a court order mandating their presence in Washington state until their sentencing in August. The pair, who admitted to orchestrating a massive crypto fraud, received emails threatening legal action if they failed to depart. The Department of Justice (DOJ) has since secured a deferral of the deportation orders, ensuring the sentencing process remains uninterrupted.
Trump Administration Continues Flawed Deportations
In a perplexing turn of events, the DHS mistakenly issued self-deportation orders to Potapenko and Turõgin in direct conflict with a standing court order requiring both men to remain in King County, Washington, until their sentencing on August 14, 2025.
The duo, extradited from Estonia in 2022, pleaded guilty in February to conspiracy to commit wire fraud, admitting to defrauding investors of $577 million through fraudulent crypto mining contracts and a deceptive initial coin offering for a project called Polybius. As part of their plea deal, they agreed to forfeit over $400 million in assets.
Time to Leave
On April 11, both men received alarming emails from DHS stating, “It is time for you to leave the United States,” and warning of potential criminal prosecution if they remained. Their attorneys described these communications as “disturbing,” highlighting the anxiety caused by conflicting instructions from different branches of the U.S. government.
In response, the Department of Justice coordinated with DHS’s Homeland Security Investigations to secure a one-year deferral of the deportation orders. This intervention ensures that Potapenko and Turõgin will remain in the U.S. to face sentencing as scheduled. Their legal team has indicated plans to request a sentence of time served, allowing for their immediate return to Estonia post-sentencing.
The farcical state of affairs is the latest setback in the Trump administration’s deportation orgy which has seen innocent people deported and not allowed to return to the U.S.
