- Bankman-Fried’s appeal for pre-trial release denied by US Court of Appeals.
- Accusations of witness tampering in the FTX scandal.
- Potential consequences for Bankman-Fried as he awaits trial.
Former FTX CEO Sam Bankman-Fried’s appeal for pre-trial release has been denied by a U.S. Court of Appeals. Bankman-Fried’s legal team had sought temporary release from jail to review documents ahead of his October 3rd trial.
After reviewing the Defendant-Appellant’s additional arguments, the U.S. Court of Appeals for the Second Circuit found them unconvincing and issued an order denying the motion for release pending trial. This decision was made on Thursday.
Bankman-Fried has been in jail since August, facing accusations of witness tampering. He allegedly leaked the private diary of his former colleague and ex-girlfriend, Caroline Ellison, to the New York Times and used an encrypted messaging app to contact a potential witness.
Appeals Court Upholds District Court’s Decision
The appeals court supported the district court’s conclusion that there was probable cause to believe Bankman-Fried attempted to tamper with two witnesses, in violation of 18 U.S.C. § 1512(b), and acted with unlawful intent to influence these witnesses.
Furthermore, the appeals court agreed with the district court’s assertion that engaging in speech to commit a criminal offense, such as witness tampering, falls outside the scope of constitutional protection.
Bankman-Fried is facing multiple charges, including fraud, and could potentially be sentenced to over 100 years in prison if convicted. These charges are related to allegations that he and other FTX executives misused billions of customer assets for their own failed investments. FTX filed for bankruptcy protection late last year.
Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.