April 19 (Cointime) - U.S. District Attorney Damian Williams has filed a request ahead of the sentencing of Reginald Fowler, scheduled for April 20. Fowler, the former minority owner of the Minnesota Vikings NFL team, was arrested and charged in 2019 with bank fraud, illegal money transfers, and conspiracy related to shadow banking practices, stemming from his alleged operation of an unlicensed money transmitting business.

Representing the government, Williams is seeking a sentence of at least seven years in prison for Fowler. However, he has also suggested a range of 15 to 20 years to emphasize the severity of the offense. Williams stated: 

“Reginald Fowler has committed serious crimes. Only a significant period of incarceration, of at least 84 months imprisonment, could reflect that seriousness, promote respect for the law, and afford adequate deterrence.” 

In 2018, Fowler founded Global Trading Solutions (GTS), a company operating under the Panama-based Crypto Capital Corp, which has been accused of being a crypto shadow bank. Fowler was charged with acting as an unlicensed money transmitter and deceiving financial institutions. It is alleged that he provided shadow banking services to various crypto exchanges, such as Bitfinex, Binance, CEX.io, and QuadrigaCX, through Crypto Capital.

According to the filing, between February and October 2018, GTS and Crypto Capital processed around $750 million in cryptocurrency transactions, enabling unlawful access to the U.S. banking system for unlicensed crypto firms.

In 2020 Fowler pleaded not guilty to all charges and was released on $5 million bail, however, he reentered a guilty plea in April 2022. The outcome of Fowler's sentencing will be determined on April 20, and the case serves as a reminder of the importance of regulatory compliance in financial operations.