Maduro Pleads Not Guilty, Claims Capture in U.S. Drug Case

Legal Insight 2026/01/08 07:24   Bookmark and Share
A defiant Nicolás Maduro declared himself “the president of my country” as he protested his capture and pleaded not guilty Monday to federal drug trafficking charges that the Trump administration used to justify removing him from power in Venezuela.

“I was captured,” Maduro said in Spanish as translated by a courtroom interpreter before being cut off by the judge. Asked later for his plea to the charges, he stated: “I am innocent. I am not guilty. I am a decent man, the constitutional president of my country.”

Maduro’s court appearance in Manhattan, his first since he and his wife, Cilia Flores, were seized from their Caracas home Saturday in a stunning middle-of-the-night military operation, kicked off the U.S. government’s most consequential prosecution in decades of a foreign head of state. She also pleaded not guilty.

The criminal case is unfolding against a broader diplomatic backdrop of an audacious U.S.-engineered regime change that President Donald Trump has said will enable his administration to “run” the South American country.

Maduro, 63, was brought to court under heavy security early Monday — flown by helicopter to Manhattan from Brooklyn, where he is jailed, and then driven to the courthouse in an armored vehicle. He and Flores were led into court just before noon. Both were in leg shackles and jail-issued garb, and both put on headsets to hear the English-language proceeding as it was translated into Spanish.

As Maduro left the courtroom, a man in the audience denounced him as an “illegitimate” president.

As a criminal defendant in the U.S. legal system, Maduro will have the same rights as any other person charged with a crime in the country — including the right to jury trial. But, given the circumstances of his arrest and the geopolitical stakes at play, he’ll also be nearly — but not quite — unique.

That was made clear from the outset as Maduro, who took copious notes throughout the proceedings and wished Happy New Year to reporters as he entered the courtroom, repeatedly pressed his case that he had been unlawfully abducted.

“I am here kidnapped since Jan. 3, Saturday,” Maduro said, standing and leaning his tall frame toward a tabletop microphone. “I was captured at my home in Caracas.”

U.S. District Judge Alvin Hellerstein, a 92-year-old jurist who was appointed to the federal bench in 1998 by Bill Clinton, interrupted him, saying: “There will be a time and place to go into all of this.” Hellerstein added that Maduro’s lawyer could do so later.

“At this point in time, I only want to know one thing,” the judge said. “Are you Nicolás Maduro Moros?”

“I am Nicolás Maduro Moros,” the defendant responded.

Maduro’s lawyer, Barry Pollack, said he expects to contest the legality of his “military abduction.”

Pollack, a prominent Washington lawyer whose clients have included WikiLeaks founder Julian Assange, said Maduro is “head of a sovereign state and is entitled to the privileges and immunities that go with that office.”

Panamanian strongman Manuel Noriega unsuccessfully tried the same immunity defense after the U.S. captured him in a similar military invasion in 1990. But the U.S. doesn’t recognize Maduro as Venezuela’s legitimate head of state — particularly after a much-disputed 2024 reelection.

Flores, who identified herself to the judge as “first lady of the Republic of Venezuela,” had bandages on her forehead and right temple. Her lawyer, Mark Donnelly, said she suffered “significant injuries” during her capture.

A 25-page indictment accuses Maduro and others of working with drug cartels to facilitate the shipment of thousands of tons of cocaine into the U.S. They could face life in prison if convicted.

Among other things, the indictment accuses Maduro and his wife of ordering kidnappings, beatings and murders of those who owed them drug money or undermined their drug trafficking operation. That included the killing of a local drug boss in Caracas, the indictment said.

Outside the courthouse, police separated those protesting the U.S. military action from pro-intervention demonstrators. Inside the courtroom, as the proceeding wrapped up and Maduro prepared to leave, 33-year-old Pedro Rojas stood up and began speaking forcefully at him in Spanish.

Rojas said later that he had been imprisoned by the Venezuelan regime. As deputy U.S. marshals led Maduro from the courtroom, the deposed leader looked directly at the man and shot back in Spanish: “I am a kidnapped president. I am a prisoner of war.”

Demands for Maduro’s return

Trump said Saturday the U.S. would “run” Venezuela temporarily and reiterated Sunday night that “we’re in charge,” telling reporters “we’re going to run it, fix it.”

Secretary of State Marco Rubio tried to strike a more cautious tone, telling Sunday morning talk shows that the U.S. would not govern the country day-to-day other than enforcing an existing ” oil quarantine.”

Before his capture, Maduro and his allies claimed U.S. hostility was motivated by lust for Venezuela’s rich oil and mineral resources.

Trump has suggested that removing Maduro would enable more oil to flow out of Venezuela, but oil prices rose 1.7% on Monday. There are uncertainties about how fast oil production can be ramped up in Venezuela after years of neglect, as well as questions about governance and oversight of the sector.

Venezuela’s new interim leader, Delcy Rodríguez, has demanded that the U.S. return Maduro, who long denied any involvement in drug trafficking — although late Sunday she struck a more conciliatory tone in a social media post, inviting collaboration with Trump and “respectful relations” with the U.S.
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Do Kwon sentenced to 15 years in prison for $40 billion stablecoin fraud

Legal Insight 2025/12/11 21:57   Bookmark and Share
Onetime cryptocurrency mogul Do Kwon was sentenced Thursday to 15 years in prison after a $40 billion crash revealed his crypto ecosystem to be a fraud. Victims said the 34-year-old financial technology whiz weaponized their trust to convince them that the investment — secretly propped up by cash infusions — was safe.

Kwon, a Stanford graduate known by some as “the cryptocurrency king,” apologized after listening as victims — one in court and others by telephone — described the scam’s toll: wiping out nest eggs, depleting charities and wrecking lives. One told the judge in a letter that he contemplated suicide after his father lost his retirement money in the scheme.

Judge Paul A. Engelmayer said at a daylong sentencing hearing in Manhattan federal court that the government’s recommendation of 12 years in prison was “unreasonably lenient” and that the defense’s request for five years was “utterly unthinkable and wildly unreasonable.” Kwon faced a maximum sentence of 25 years in prison.

“Your offense caused real people to lose $40 billion in real money, not some paper loss,” Engelmayer told Kwon, who sat at the defense table in a yellow jail suit. The judge called it “a fraud on an epic, generational scale” and said Kwon had an “almost mystical hold” on investors and caused incalculable “human wreckage.”

Kwon pleaded guilty in August to fraud charges stemming from the collapse of Terraform Labs, the Singapore-based firm he co-founded in 2018. The loss exceeded the combined losses from FTX founder Sam Bankman-Fried and OneCoin co-founder Karl Sebastian Greenwood’s frauds, prosecutors said. Engelmayer estimated there may have been a million victims.

Terraform Labs had touted its TerraUSD as a reliable “stablecoin” — a kind of currency typically pegged to stable assets to prevent drastic fluctuations in prices. But prosecutors say it was an illusion backed by outside cash infusions that came crumbling down after it plunged far below its $1 peg. The crash devastated investors in TerraUSD and its floating sister currency, Luna, triggering “a cascade of crises that swept through cryptocurrency markets.”

Kwon tried to rebuild Terraform Labs in Singapore before fleeing to the Balkans on a false passport, prosecutors said. He’s been locked up since his March 2023 arrest in Montenegro. He was credited for 17 months he spent in jail there before being extradited to the U.S.

Kwon agreed to forfeit over $19 million as part of his plea deal. His lawyers argued his conduct stemmed not from greed, but hubris and desperation. Engelmayer rejected his request to serve his sentence in his native South Korea, where he also faces prosecution and where his wife and 4-year-old daughter live.

“I have spent almost every waking moment of the last few years thinking of what I could have done different and what I can do now to make things right,” Kwon told Engelmayer. Hearing from victims, he said, was “harrowing and reminded me again of the great losses that I have caused.”

One victim, speaking by telephone, said his wife divorced him, his sons had to skip college, and he had to move back to Croatia to live with his parents after TerraUSD’s crash evaporated his family’s life savings. Another said he has to “live with the guilt” of persuading his in-laws and hundreds of nonprofit organizations to invest.

Stanislav Trofimchuk said his family’s investment plummeted from $190,000 to $13,000 — “17 years of our life, gone” during what he described as “two weeks of sheer terror.”

Chauncey St. John, speaking in court, said some nonprofits he worked with lost more than $2 million and a church group lost about $900,000. He and his wife are saddled with debt and his in-laws have been forced to work well past their planned retirement, he said.

Nevertheless, St. John said, he forgives Kwon and “I pray to God to have mercy on his soul.”

A prosecutor read excerpts from some of more than 300 letters submitted by victims, including a person identified only by initials who lost nearly $11,400 while juggling bills and trying to complete college. Kwon had made Terra seem like a safe place to stash savings, the person said.

“To some that is just a number on a page, but to me it was years of effort,” the person wrote. “Watching it evaporate, literally overnight, was one of the most terrifying experiences of my life.”

“What happened was not an accident. It was not a market event. It was deception,” the person added, imploring the judge to “consider the human cost of this tragedy.”

Kwon created an “illusion of resilience while covering up systemic failure,” Assistant U.S. Attorney Sarah Mortazavi told Engelmayer. “This was fraud executed with arrogance, manipulation and total disregard for people.”
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Former Honduras President Hernández freed after Trump pardon

Legal Insight 2025/12/02 21:47   Bookmark and Share
Former Honduras President Juan Orlando Hernández, sentenced last year to 45 years in prison for his role in helping drug traffickers move hundreds of tons of cocaine to the United States, was released from prison following a pardon from President Donald Trump, his wife announced Tuesday.

The U.S. Bureau of Prisons inmate website showed that Hernández was released from U.S. Penitentiary, Hazelton in West Virginia on Monday and a spokesperson for the bureau on Tuesday confirmed his release.

His wife Ana García thanked Trump for pardoning Hernández via the social platform X early Tuesday.

“After almost four years of pain, of waiting and difficult challenges, my husband Juan Orlando Hernández RETURNED to being a free man, thanks to the presidential pardon granted by President Donald Trump,” García’s post said. She included a picture of the U.S. Bureau of Prisons listing for Hernández indicating his release.

On Sunday, Trump was asked about why he pardoned Hernandez by reporters traveling with him on Air Force One.

“I was asked by Honduras, many of the people of Honduras,” Trump said.

“The people of Honduras really thought he was set up, and it was a terrible thing,” he said.

“They basically said he was a drug dealer because he was the president of the country. And they said it was a Biden administration set-up. And I looked at the facts and I agreed with them.”

Hernández was arrested at the request of the United States in February 2022, weeks after handing over power to current President Xiomara Castro.

Two years later, he was sentenced to 45 years in prison in a New York federal courtroom for taking bribes from drug traffickers so they could safely move some 400 tons of cocaine north through Honduras to the United States.

Hernández maintained throughout that he was innocent and the victim of revenge by drug traffickers he had helped extradite to the United States.

During his sentencing in New York, federal Judge P. Kevin Castel said the punishment should serve as a warning to “well educated, well dressed” individuals who gain power and think their status insulates them from justice when they do wrong.

Hernández portrayed himself as a hero of the anti-drug trafficking movement who teamed up with American authorities under three U.S. presidential administrations to reduce drug imports.

But the judge said trial evidence proved the opposite and that Hernández employed “considerable acting skills” to make it seem that he was an anti-drug trafficking crusader while he deployed his nation’s police and military, when necessary, to protect the drug trade.

Hernández is not guaranteed a quick return to Honduras.

Immediately after Trump announced his intention to pardon Hernández, Honduras Attorney General Johel Zelaya said via X that his office was obligated to seek justice and put an end to impunity.

He did not specify what charges Hernández could face in Honduras. There were various corruption-related investigations of his administration across two terms in office that did not lead to charges against him. President Xiomara Castro, who had Hernández arrested and extradited him to the U.S., will remain in office until January.

The pardon promised by Trump days before Honduras’ presidential election injected a new element into the contest that some said helped the candidate from his National Party Nasry Asfura, one of the leaders as the vote count proceeded Tuesday.
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Supreme Court meets to weigh Trump’s birthright citizenship restrictions

Legal Insight 2025/11/28 21:47   Bookmark and Share
The Supreme Court is meeting in private Friday with a key issue on its agenda — President Donald Trump ’s birthright citizenship order declaring that children born to parents who are in the United States illegally or temporarily are not American citizens.

The justices could say as soon as Monday whether they will hear Trump’s appeal of lower court rulings that have uniformly struck down the citizenship restrictions. They have not taken effect anywhere in the United States.

If the court steps in now, the case would be argued in the spring, with a definitive ruling expected by early summer.

The birthright citizenship order, which Trump signed on the first day of his second term in the White House, is part of his administration’s broad immigration crackdown. Other actions include immigration enforcement surges in several cities and the first peacetime invocation of the 18th century Alien Enemies Act.

The administration is facing multiple court challenges, and the high court has sent mixed signals in emergency orders it has issued. The justices effectively stopped the use of the Alien Enemies Act to rapidly deport alleged Venezuelan gang members without court hearings, while they allowed the resumption of sweeping immigration stops in the Los Angeles area after a lower court blocked the practice of stopping people solely based on their race, language, job or location.

The justices also are weighing the administration’s emergency appeal to be allowed to deploy National Guard troops in the Chicago area for immigration enforcement actions. A lower court has indefinitely prevented the deployment.

Birthright citizenship is the first Trump immigration-related policy to reach the court for a final ruling. Trump’s order would upend more than 125 years of understanding that the Constitution’s 14th Amendment confers citizenship on everyone born on American soil, with narrow exceptions for the children of foreign diplomats and those born to a foreign occupying force.

In a series of decisions, lower courts have struck down the executive order as unconstitutional, or likely so, even after a Supreme Court ruling in late June that limited judges’ use of nationwide injunctions.

While the Supreme Court curbed the use of nationwide injunctions, it did not rule out other court orders that could have nationwide effects, including in class-action lawsuits and those brought by states. The justices did not decide at that time whether the underlying citizenship order is constitutional.

But every lower court that has looked at the issue has concluded that Trump’s order violates or most likely violates the 14th Amendment, which was intended to ensure that Black people, including former slaves, had citizenship.

The administration is appealing two cases.

The U.S. Court of Appeals for the 9th Circuit in San Francisco ruled in July that a group of states that sued over the order needed a nationwide injunction to prevent the problems that would be caused by birthright citizenship being in effect in some states and not others.
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FEMA acting chief David Richardson departs after six months on the job

Legal Insight 2025/11/18 06:04   Bookmark and Share
The acting chief of the Federal Emergency Management Agency left his job Monday after just six months, according to the Department of Homeland Security, the latest disruption in a year of mass staff departures, program cuts and policy upheaval at the agency charged with managing federal disaster response.

David Richardson, who in his brief term remained largely out of public sight, is leaving the post after he faced a wave of criticism for his handling of the deadly Texas floods earlier this year. He replaced previous acting head Cameron Hamilton in May.

DHS did not comment on the details of Richardson’s departure, but a FEMA employee familiar with the matter told The Associated Press that Richardson resigned. The employee spoke on condition of anonymity because they weren’t authorized to discuss the changes with the media.

The Washington Post first reported the news about Richardson’s resignation.

A former Marine Corps officer who served in Iraq and Afghanistan and also led the DHS Countering Weapons of Mass Destruction office, Richardson had no previous emergency management experience when he assumed the role of “senior official performing the duties of administrator” in May.

After replacing Hamilton, who was fired one day after telling a House appropriations committee that he did not think FEMA should be eliminated, Richardson vowed to help fulfill President Donald Trump’s goal to push more disaster recovery responsibilities to the states and told FEMA employees he would “ run right over ” anyone who tried to obstruct that mission.
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Republican US Rep. Elise Stefanik is running for governor of New York

Legal Insight 2025/11/07 08:24   Bookmark and Share
U.S. Rep. Elise Stefanik, a close Republican ally of President Donald Trump, announced Friday that she’s running for governor of New York, a place she depicted in a campaign launch video as being “in ashes” because of lawlessness and a high cost of living.

In her video, a narrator declares “The Empire State has fallen” as it painted a grim picture of crime and economic crisis in New York City, though her message appeared to be aimed at other, more conservative parts of the state that she will need to win over next year.

“Under Kathy Hochul’s failed leadership, New York is the most unaffordable state in the nation with the highest taxes, highest energy, utilities, rent, and grocery prices crushing hardworking families,” Stefanik said in a statement.

Stefanik, who represents a conservative congressional district in upstate New York, has for months teased a run, leveling heavy criticism at incumbent Gov. Kathy Hochul and more recently toward Zohran Mamdani, the mayor-elect of New York City.

Last year, Trump picked Stefanik to be the administration’s ambassador to the United Nations, but later rescinded the nomination over concerns about Republicans’ tight margins in the House.

Though any Republican faces long odds of winning the governor’s mansion in New York, Stefanik’s campaign will bring solid name recognition, fundraising prowess and deep ties to the White House. Her campaign announced Friday that she has received the backing of nearly three-quarters of the state’s county Republican chairs.

In a statement, Hochul campaign spokesperson Sarafina Chitika called Stefanik “Donald Trump’s number one cheerleader in Congress.”

“Apparently, screwing over New Yorkers in Congress wasn’t enough — now she’s trying to bring Trump’s chaos and skyrocketing costs to our state,” Chitika said.

The Republican primary field remains unclear ahead of the 2026 race. U.S. Rep. Mike Lawler had been contemplating a run and was considered a potentially strong candidate, but said earlier this year that he would instead seek reelection in his battleground House district in the New York Hudson Valley.

Hochul faces a contested primary, with her own lieutenant governor, Antonio Delgado, running against her.

Stefanik, a Harvard graduate, was 30 when she was first elected to the House in 2014. She entered Congress as a moderate Republican but soon attached herself to Trump, reshaping her persona into more of a brash, outspoken MAGA disciple.

Her national profile got a big boost after she aggressively questioned a group of university presidents over antisemitism on their campuses, leading to two of their resignations and winning praise from the Republican president.

Democrats have a major voter registration edge in New York. The last Republican governor in the state was former Gov. George Pataki, who left office about two decades ago. Still, Republican Lee Zeldin, a former Long Island congressman and current head of the Environmental Protection Agency, made a serious run for the office in 2022, coming within striking distance of upsetting Hochul.
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