But a former U.S. attorney told The Daily Beast that inmates in pretrial detention can sometimes be moved when they are cooperating with the government, a possible explanation for Zarrab’s removal from prison.
If Zarrab has any information about the deal that was reportedly floated for his release, this could be a damaging development for Flynn. An attorney for Flynn did not respond to a request for comment from CNBC.
Zarrab has retained a team of celebrity attorneys to fight his case, including former New York Mayor Rudy Giuliani and Ben Brafman, a criminal defense attorney who has represented pharmaceutical CEO Martin Shkreli and disgraced movie producer Harvey Weinstein.
In recent weeks, however, The New York Times has reported certain signs indicating that Zarrab might have pleaded guilty, including a halt to new court filings. Reached by CNBC, Brafman declined to comment on Zarrab’s case.
Flynn was one of the first Trump staffers to come under investigation for alleged ties to foreign powers, and reportedly told the Trump campaign that he was under investigation before he was appointed national security advisor.
Flynn resigned from his White House role Feb. 13 after reports surfaced that he had misled Vice President Mike Pence about a conversation he had with Russian Ambassador Sergey Kislyak.