Lawyers for Samourai Wallet co-founders Keonne Rodriguez and William Hill have accused federal prosecutors of withholding key information in their prosecution. In a letter to a Manhattan federal court, Samourai’s legal team alleges that prosecutors suppressed evidence that the US Treasury's Financial Crimes Enforcement Network (FinCEN) stated the firm's wallet did not require a license as a 'money services business' (MSB). Despite this guidance being shared with prosecutors six months before charges were filed, they proceeded to arrest Rodriguez and Hill for allegedly operating an unlicensed money transmitting business and conspiracy to launder money via Samourai's crypto mixing service.
The letter claims prosecutors should have disclosed their discussions with FinCEN shortly after the charges were unsealed, but withheld this information for over a year, revealing it only in April 2025. According to an internal email, FinCEN representatives suggested Samourai was not considered an MSB because it did not hold custody of users' private keys, making prosecution under current guidance difficult.
Samourai’s lawyers have requested a hearing on the late disclosure and indicated their intent to renew a motion to dismiss the case, arguing their clients believed they were acting lawfully based on FinCEN guidance. The Justice Department, having recently softened its enforcement stance on unintentional regulation violations by crypto mixer operators, is reviewing whether to drop the case entirely.