One Year Later Pavel Durov Says French Investigation Stalled

Durov also argued that it is absurd to hold a platform’s executive personally liable for user actions. He said Telegram complies with lawful requests while refusing to compromise on privacy, but warned that the year-long ordeal damaged France’s image as a free nation. Meanwhile, Coinbase secured a pause in a lawsuit over alleged violations of Illinois’ Biometric Information Privacy Act. A judge agreed to wait for a related appellate ruling that could set precedent. The case accuses Coinbase of improperly collecting and sharing biometric data, which only adds to its legal troubles after a data breach earlier this year.

Telegram Founder Blasts French Charges

Pavel Durov, the founder of Telegram, spoke out once again about his ongoing legal case in France, and described the criminal investigation against him as “struggling” to find any evidence of wrongdoing. In a Telegram post on Sunday, Durov called his arrest by French authorities in August 2024 “unprecedented” and explained that holding a technology executive personally responsible for the actions of independent users was both “legally and logically absurd.” 

He also explained that Telegram’s moderation practices are consistent with industry standards and held firm that the company always complied with every legally binding request from French authorities.

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Telegram post from Pavel Durov 

Despite this, Durov revealed that one year later he is still required to return to France every 14 days, with no appeal date yet set. He warned that the French government’s handling of the case already caused “irreparable damage” to France’s image as a free country. His arrest last year triggered a wave of backlash from the crypto community, human rights organizations, and free speech advocates, many of whom accused the French government of trying to pressure Telegram into adopting stronger censorship policies.

French prosecutors charged Durov in connection with Telegram’s content moderation policies, and alleged that the platform was being used to host harmful material. After his arrest, he was barred from leaving the country. French President Emmanuel Macron defended the move at the time, and rejected accusations that the arrest was politically motivated. He insisted that it was made within the framework of protecting citizens’ rights and freedoms

However, his comments only fueled further criticism online. Mert Mumtaz, CEO of node provider Helius, responded sharply to Macron by asking why the French leader was not being held personally accountable for failing to prevent all crime within France.

Durov consistently maintained that Telegram respects the rule of law and complies with law enforcement requests, but he has also vowed that the platform will never compromise user privacy by handing over encryption keys or building backdoors into its systems. Instead, he said Telegram would rather exit a jurisdiction than give in to demands that violate its principles.

Judge Pauses Coinbase Biometric Privacy Lawsuit

In other legal news, a federal judge in Illinois granted Coinbase’s request to pause proceedings in a lawsuit about violations of the state’s Biometric Information Privacy Act (BIPA). The lawsuit was filed in May, and claimed that Coinbase collected users’ biometric data, including faceprints, as part of its Know Your Customer requirements without providing proper notice. Plaintiffs also alleged that the company shared this sensitive information with third-party verification providers without consent, which they said breached Illinois law.

In a Thursday filing, Judge Sharon Johnson Coleman of the US District Court for the Northern District of Illinois Eastern Division ruled in favor of Coinbase’s motion to stay the case while awaiting a decision from the US Court of Appeals for the Seventh Circuit. The appellate court is currently reviewing a case involving Nuance Communications and Charles Schwab’s use of voice identification technology. This ruling could directly impact the Coinbase matter. Judge Coleman said staying the case will help simplify issues, reduce litigation burdens, and would not cause undue prejudice against the plaintiffs.

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Coinbase ID verification process (Source: CourtListener)

Illinois’ BIPA sets strict rules for how private entities handle biometric data. Violations that are deemed negligent can result in penalties of $1,000 per occurrence, while reckless or intentional violations can carry fines of up to $5,000 per instance. The plaintiffs in the Coinbase lawsuit are also seeking to recover litigation costs.

The legal challenge comes as Coinbase still faces scrutiny over its handling of user data. In May, the exchange disclosed a data breach involving customer support contractors in India who were bribed to access user accounts. The individuals behind the breach allegedly tried to extort $20 million worth of Bitcoin from Coinbase, though the company refused to comply. 

The breach has since led to several lawsuits alleging mishandling of personal data,which only complicated Coinbase’s legal and regulatory challenges in the United States.

Source: https://coinpaper.com/10690/one-year-later-pavel-durov-says-french-investigation-stalled