Thank you for posting the articles. I've been watching this quietly for a while. I always saw Ukyo as a highly respected competitor of BTC Trading Corp and it has been sad to see things how things have developed over the years.
Back to adult reality, lets note that the counts to which Montroll pleaded guilty and for which he has accepted responsibility are both Class C felonies. The rules provide for maximum term of imprisonment of 20 years. However, the defense notes that a probationary sentence of between one and five years is available.
Taking out other people's money for personal expenses is a
big deal.
Not disclosing the theft and operating a fractional reserve exchange without transparency is a
big deal. He tricked every single person that deposited after the theft into thinking they were safe.
Compounding it by announcing a loan and accepting investment without disclosure to investors that they are buying into a 6,000 BTC hole is a
big deal.
Even with all that, it seems crazy that you'd put a non-violent person in
federal prison for 20 years.
The guy has proven tech skills. Order him to pay it back. Let him work and garnish his pay. Put him on probation until every victim is made whole.
Unless you really think he's rotten to the core don't let those 4 kids grow up without a father. Hating the world, hating the government, and hating their dad. You create 4 more victims, an additional burden on taxpayers, and how will he ever repay anyone from prison?
If he fails to keep a job, fails to make payment progress, goes out defrauding people again, or fails to care for his family - then you can wack him with a parole violation and then prison becomes an option.
My $0.02.