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Joran van der Sloot pleaded not guilty in federal court during a Friday morning arraignment hearing on extortion charges, entering court with a smile as he faces extortion and wire fraud charges in connection with the 2005 disappearance of Alabama 18-year-old Natalee Holloway.

Van der Sloot, 35, is the prime suspect in the May 2005 disappearance of Holloway, who was last seen leaving a bar with him in Aruba during a trip for graduating seniors from Mountain Brook High School.

The court was prepared to provide a translator for him, but van der Sloot said, "It’s really not necessary" because he speaks English well.

Beth Holloway, Natalee's mother, sat in one of the first three rows and appeared to keep her eyes on van der Sloot almost the entire time. 

JORAN VAN DER SLOOT CASE: PRIME NATALEE HOLLOWAY SUSPECT TO BE ARRAIGNED ON EXTORTION CHARGES

Holloway family and friends walk to the U.S. Attorney's Office

Holloway family and friends walk to the U.S. Attorney's Office in Birmingham, Alabama, on Friday. Dutch national Joran van der Sloot pleaded not guilty in federal court to charges of extorting the family of American student Natalee Holloway. (The Image Direct for Fox News Digital)

Magistrate Judge Gray Borden told van der Sloot he would only accept a not guilty plea in the extortion and wire fraud case — and that if the Dutch national decided to plead guilty, he could do so at a later date. 

Although the charges involve allegations that van der Sloot tried to extort and defraud Holloway’s mother, it marked the first time that she had seen van der Sloot face-to-face, said George Seymore, of Patriot Strategies, who represents the Holloway family.

Natalee Holloway

Natalee Holloway was last seen alive in Aruba while on a Mountain Brook High School senior trip. (Federal Bureau of Investigation)

The Dutch national, who was convicted of murder in connection with a Peruvian business student's death in 2010, landed in Birmingham, Alabama, on Thursday afternoon after being taken from Lima, Peru, with agents from the Federal Bureau of Investigation.

Beth Holloway arrives in court wearing white and green

Beth Holloway is spotted arriving to court in Birmingham, Alabama. Dutch national Joran Van Der Sloot pleaded not guilty to charges of extorting the family of missing American student Natalee Holloway. (The Image Direct for Fox News Digital )

Van der Sloot is being charged with extortion and wire fraud in the U.S. after allegedly attempting to sell Beth Holloway fake information regarding the location of her daughter's body.

Matt Holloway arrives at court

Matt Holloway, brother of the late Natalee Holloway, is spotted arriving to court in Birmingham, Alabama, on Friday. (The Image Direct for Fox News Digital )

A 2010 federal indictment alleges van der Sloot extorted Beth Holloway, seeking $250,000 in exchange for the location of her daughter's remains.

After deposits of $25,000 were paid, van der Sloot allegedly lied to Beth Holloway's lawyer, John Q. Kelly, about where her daughter's remains were located, according to American prosecutors. 

Joran van der Sloot is surrounded by armed guards.

Joran van der Sloot prepares to leave the airport in Lima, Peru, on Thursday.  (Col. Carlos López Aeda for Fox News Digital)

Joran van der Sloot is transported to the airport

Dutch citizen Joran van der Sloot is driven in a police vehicle from the Ancon I maximum-security prison on the outskirts of Lima, Peru, on Thursday. (AP Photo/Martin Mejia)

While van der Sloot was charged in 2010, the Peruvian government wouldn't agree to allow him to face charges in America until recently, when the government approved the temporary transfer of custody, arguing in part that he should go to trial before witnesses got too old.

Federal prosecutors say the alleged extortion scheme happened between March 29, 2010, and May 17, 2010. 

Natalee Holloways remains are likely not on land in Aruba: Ted Williams

NATALEE HOLLOWAY SUSPECT JORAN VAN DER SLOOT ARRIVES IN US TO FACE EXTORTION, WIRE FRAUD CHARGES

After receiving the money, van der Sloot then traveled to Peru and met Stephany Flores, 21, at a Lima casino owned by her father.

He killed her five years to the day after Holloway's disappearance, fled the country and was eventually captured.

Casino

A video still released June 9, 2010, shows Joran van der Sloot and Stephany Flores playing at a casino before her murder on May 30, 2010, in Lima, Peru. (Atlantic City Casino via Reuters)

He was initially sentenced to 28 years in prison for the murder, but saw more time added to his sentence because of a drug-smuggling operation he ran from behind bars.

Van der Sloot will remain in America while the federal case against him is ongoing.

WATCH: Joran van der Sloot arrives in US

Under an agreement with the government of Peru, he will go back there to finish his prison sentence after his trial in the Northern District of Alabama.

If convicted on the U.S. charges, van der Sloot would return to a federal prison after his Peruvian sentence ends in 2038 to serve up to 40 more years.

Natalee Holloway and friends smile

Natalee Hollway, center, went missing during a spring break trip in 2005 and was never found. (FBI)

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In an earlier statement provided to Fox News Digital when the Peruvian court announced the transfer of van der Sloot, Beth Holloway said this gives her family a chance at justice.

Fox News’ Claudia Kelly-Bazan contributed to this report.