London judge clears way for Saitama executive Manpreet Kohli’s extradition to U.S.

A London judge has rejected Saitama executive Manpreet Kohli’s challenge to being extradited to the United States, moving forward a closely watched crypto market-manipulation case that U.S. prosecutors say is tied to a token that once reached a theoretical market value of about $7.5 billion.

Reuters reported on Aug. 26 that District Judge Samuel Goozee rejected Kohli’s challenge on Aug. 19 and referred the case to British ministers, the next formal step in the U.K. extradition process. The decision does not end the matter: ministerial approval is still required before Kohli could be surrendered to U.S. authorities, and he can still appeal. Reuters also reported that Kohli remains free on 200,000 pounds ($264,000) bail while the case continues.

The ruling matters beyond one defendant. It shows a U.S. crypto enforcement case clearing procedural hurdles on both sides of the Atlantic, with U.K. extradition proceedings advancing as a federal court in Boston also allows the prosecution to move ahead.

U.S. prosecutors have charged Kohli with offenses including wire fraud, market manipulation, related conspiracy counts and an allegation tied to operating an unlicensed money-transmitting business. Prosecutors allege Kohli and others publicly claimed they were holding and buying Saitama tokens while privately selling into the market, helping create a misleading picture of demand and support for the token.

According to Justice Department charging documents, prosecutors allege Kohli personally received roughly $20 million from token sales. Government materials describe Saitama as having reached a peak theoretical market value of about $7.5 billion, a figure used to show the token’s scale rather than investor losses.

Kohli argued that extradition should be blocked in part because of mental health and suicide-risk concerns if he were sent to U.S. custody. Goozee rejected that argument. “I find there are clearly appropriate arrangements in place both during transit and within the prison system in the U.S. to be able to cope with (Kohli’s) mental health and reduce the risk of suicide to an acceptable level,” Reuters quoted the judge as saying.

The case is part of the Justice Department’s 2024 crypto crackdown known as Operation Token Mirrors, announced by the U.S. attorney’s office in Massachusetts. In that sweep, U.S. authorities charged 18 individuals and entities in what they described as schemes involving wash trading — trading meant to create fake market activity — and pump-and-dump-style token manipulation. As part of the investigation, the FBI created an undercover token called NexFundAI.

When the operation was announced in October 2024, the Justice Department said, “Wash trading has long been outlawed in the financial markets, and cryptocurrency is no exception.” Kohli was arrested in London on Oct. 7, 2024, according to the department.

The wider enforcement campaign has already produced penalties. Market-maker Gotbit, which the government said was involved in the broader scheme, was sentenced in 2025 and ordered to forfeit about $23 million and cease operations.

Kohli’s case has also recently advanced in the United States. Reuters reported earlier in August that a federal judge in Boston rejected his motion to dismiss the indictment, allowing the criminal case there to proceed.

For now, the next formal step in the U.K. is ministerial review of the extradition request. Even so, the process is not over: Kohli remains on bail, British ministers must still approve any surrender, and further appeals remain available.