Sam
Bankman-Fried, the Founder of the insolvent cryptocurrency exchange, FTX, is
finally challenging the decision of Judge Lewis Kaplan to jail him ahead of his
trial scheduled to start on October 3rd, according to Reuters. Earlier this month,
Judge Kaplan ordered Bankman-Fried to be imprisoned for twice attempting to tamper
with witnesses in the lawsuit. The case was initiated against him by the
United States over the collapse of FTX in November last year.
According
to a court filing seen by Reuters, the former crypto billionaire’s lawyers
entered the appeal at the 2nd US Circuit Court of Appeals. In revoking the defendant’s option for bail, Judge Kaplan of the US District Court of the Southern
District of New York agreed with US prosecutors that Bankman-Fried violated the
terms of his bail
granted on a $250 million bond in December.
Specifically,
the prosecutors contended that FTX’s Founder sought to intimidate Caroline
Ellison, this former ally and romantic partner, by sharing
her personal details with The New York Times. However, in the appeal,
Bankman-Fried’s lawyers asserted that the former CEO of FTX simply exercised his
First Amendment rights through the action.
The First
Amendment in the US Constitution guarantees the freedom of
religion, speech, press and assembly, among others.
In their
argument, Bankman-Fried’s lawyers wondered how the defendant’s action could be
considered a threat to Ellison when the details shared with The New York Times were her ‘own statements’. The
article published by the media establishment described details contained in the documents
it obtained as “personal and raw,” adding that the documents
illustrate the complexity of the relationship between Bankman-Fried and
Ellison.
Currently,
the accused is being held at the Metropolitan Detention Centre in
Brooklyn. In the appeal, the crypto entrepreneur’s legal counsel said the Founder of FTX is handicapped from analysing discovery materials
from the prosecution and being able to properly prepare for his trial.
Lawyers Push for Bankman-Fried’s ‘Temporary’ Release
The lawyers
have repeatedly criticised the time the former CEO of FTX is permitted to spend with his legal team. In a letter sent on Friday to the US District Court for the Southern
District of New York, the lawyers continued to raise concern, calling for Bankman-Fried’s
temporary release.
Specifically,
they argued that the accommodations provided by the court still
fall short of what is needed for the accused to adequately prepare for his
upcoming criminal trial. Furthermore, they pointed out that last
Thursday the prosecutors generated about four million pages of documents and a significant
portion of them still need to be cross-checked by Bankman-Fried.
Finance Magnates reported last week that the court permitted the embattled crypto entrepreneur’s
lawyers to conduct ‘unlimited’ prison visits to Bankman-Fried, according to a court order
seen by CoinDesk. The court also granted FTX’s Founder “frequent access” to a
computer, with certain “selected materials” only viewable using a hard drive
The
decision came after the lawyers said meeting Bankman-Fried only twice a week
was completely inadequate. Previously, the legal team
claimed that the defendant was denied a vegan meal
plan at the detention centre, and he “is
literally now subsisting on bread and water.”
Meanwhile, Bankman-Fried
last week pleaded not guilty to an updated indictment
containing seven counts of charges. He is to be tried separately in March next year on five additional charges. Currently, he faces allegations of fraud and money laundering tied to his crypto empire’s collapse.
ASIC suspends AFS license; FCA warns against 5 fraudulent firms; read today’s news nuggets.
Sam
Bankman-Fried, the Founder of the insolvent cryptocurrency exchange, FTX, is
finally challenging the decision of Judge Lewis Kaplan to jail him ahead of his
trial scheduled to start on October 3rd, according to Reuters. Earlier this month,
Judge Kaplan ordered Bankman-Fried to be imprisoned for twice attempting to tamper
with witnesses in the lawsuit. The case was initiated against him by the
United States over the collapse of FTX in November last year.
According
to a court filing seen by Reuters, the former crypto billionaire’s lawyers
entered the appeal at the 2nd US Circuit Court of Appeals. In revoking the defendant’s option for bail, Judge Kaplan of the US District Court of the Southern
District of New York agreed with US prosecutors that Bankman-Fried violated the
terms of his bail
granted on a $250 million bond in December.
Specifically,
the prosecutors contended that FTX’s Founder sought to intimidate Caroline
Ellison, this former ally and romantic partner, by sharing
her personal details with The New York Times. However, in the appeal,
Bankman-Fried’s lawyers asserted that the former CEO of FTX simply exercised his
First Amendment rights through the action.
The First
Amendment in the US Constitution guarantees the freedom of
religion, speech, press and assembly, among others.
In their
argument, Bankman-Fried’s lawyers wondered how the defendant’s action could be
considered a threat to Ellison when the details shared with The New York Times were her ‘own statements’. The
article published by the media establishment described details contained in the documents
it obtained as “personal and raw,” adding that the documents
illustrate the complexity of the relationship between Bankman-Fried and
Ellison.
Currently,
the accused is being held at the Metropolitan Detention Centre in
Brooklyn. In the appeal, the crypto entrepreneur’s legal counsel said the Founder of FTX is handicapped from analysing discovery materials
from the prosecution and being able to properly prepare for his trial.
Lawyers Push for Bankman-Fried’s ‘Temporary’ Release
The lawyers
have repeatedly criticised the time the former CEO of FTX is permitted to spend with his legal team. In a letter sent on Friday to the US District Court for the Southern
District of New York, the lawyers continued to raise concern, calling for Bankman-Fried’s
temporary release.
Specifically,
they argued that the accommodations provided by the court still
fall short of what is needed for the accused to adequately prepare for his
upcoming criminal trial. Furthermore, they pointed out that last
Thursday the prosecutors generated about four million pages of documents and a significant
portion of them still need to be cross-checked by Bankman-Fried.
Finance Magnates reported last week that the court permitted the embattled crypto entrepreneur’s
lawyers to conduct ‘unlimited’ prison visits to Bankman-Fried, according to a court order
seen by CoinDesk. The court also granted FTX’s Founder “frequent access” to a
computer, with certain “selected materials” only viewable using a hard drive
The
decision came after the lawyers said meeting Bankman-Fried only twice a week
was completely inadequate. Previously, the legal team
claimed that the defendant was denied a vegan meal
plan at the detention centre, and he “is
literally now subsisting on bread and water.”
Meanwhile, Bankman-Fried
last week pleaded not guilty to an updated indictment
containing seven counts of charges. He is to be tried separately in March next year on five additional charges. Currently, he faces allegations of fraud and money laundering tied to his crypto empire’s collapse.
ASIC suspends AFS license; FCA warns against 5 fraudulent firms; read today’s news nuggets.