Wisconsin Prosecutors File Criminal Complaint Against Circle Over Stolen USDC Warrant

Wisconsin prosecutors filed a criminal complaint against Circle, alleging the USDC issuer intentionally disobeyed a court warrant to recover roughly 381,000 stolen tokens for a local scam victim. According to BeInCrypto, Circle froze the USDC last August after a county court order but later refused a December order to invalidate the tokens and reissue an equal amount to the Walworth County sheriff’s office, prompting a misdemeanor obstruction of justice charge. Circle called the case meritless in a motion to dismiss, citing technical limits and lack of jurisdiction. Walworth County prosecutor Thomas Binger said enforcement tools lag criminals, while Milwaukee County detective Scott Simons said Circle declined freeze requests or orders arrived too late in over a dozen cases.