Sam Bankman-Fried, the disgraced founder of crypto exchange FTX, is pursuing a new trial following his 2023 conviction on fraud and conspiracy charges. The former cryptocurrency mogul has filed motions requesting the court reconsider his case, claiming new evidence of prosecutorial misconduct could alter the outcome of his prosecution.
Conviction and Sentence
Bankman-Fried was found guilty in 2023 of seven charges of fraud and conspiracy related to his role as CEO and co-founder of FTX. He was subsequently sentenced to 25 years in federal prison for orchestrating a scheme that misused customer funds through his affiliated trading company, Alameda Research. His conviction marked a dramatic fall from grace for someone who was once considered a major figure in the cryptocurrency industry.
New Trial Request and Allegations
Rather than pursuing a traditional appeal, Bankman-Fried has filed a separate motion for a new trial based on claims of newly discovered witness testimony. According to reports, he alleges that prosecutors pressured witnesses, either discouraging them from speaking or pressuring them to alter their testimony.
In social media posts, Bankman-Fried has claimed that Biden administration Department of Justice officials threatened multiple witnesses into silence or encouraged them to change their statements, describing this as evidence that undermines the fairness of the proceedings.
Judge Recusal Demand
Bankman-Fried has also called for U.S. District Judge Lewis Kaplan, who presided over the original trial, to recuse himself. He accuses the judge of prejudging defendants and has cited his treatment of other high-profile cases as evidence of bias.
Legal Strategy
His defense team has argued that jurors were denied access to exculpatory evidence and that the court improperly restricted witness testimony. They contend that key evidence relating to FTX’s internal operations and bankruptcy process was excluded, limiting his ability to present a complete defense.
Outlook
Legal experts suggest Bankman-Fried’s chances of securing a new trial appear slim. For a retrial to be granted, courts would need to determine that procedural errors materially affected the verdict. At this stage, Bankman-Fried’s allegations of prosecutorial misconduct remain unproven, and no court has yet ruled that such conduct occurred.
His case represents one of the most significant prosecutions in cryptocurrency history, reflecting ongoing efforts to hold industry leaders accountable for fraud and misappropriation of customer assets.
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