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December 31, 2023

U.S. Prosecutors Won’t Pursue Second Trial Against FTX Founder Sam Bankman-Fried: Report

By Mehron Rokhy

U.S. prosecutors are reportedly not pursuing a second trial against disgraced FTX founder Sam Bankman-Fried.

According to a new report by Reuters, in a recently penned letter to a federal court in Manhattan, the prosecutors say that the benefits of a second trial are outweighed by the public’s strong interest in a prompt resolution in the case against Bankman-Fried.

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In the letter, the prosecutors noted that the public’s interest “weighs particularly heavy” in this matter since Bankman-Fried’s March sentencing date will include forfeitures and restitution for victims of his criminal actions.

The report notes that Bankman-Fried had several charges omitted from his trial, including campaign finance violations, conspiracy to commit bribery and conspiracy to operate an unlicensed money-transmitting business.

The prosecutors said that a second trial wouldn’t change the amount of time Bankman-Fried would spend in prison under the recommended guidelines.

Earlier this year, Bankman-Fried was charged with defrauding investors and mishandling billions of dollars worth of customer funds. Prosecutors claimed he intentionally used the capital FTX customers deposited into the crypto exchange to make risky crypto wagers using Alameda Research, FTX’s sister company.

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In court, Bankman-Fried argued that while he made errors in operating the crypto exchange, he never intentionally stole funds, according to the report.

Bankman-Fried was found guilty of seven counts of fraud on November 2nd and is currently awaiting sentencing. He faces over 100 years behind bars.

Earlier this month, Bankman-Fried’s lawyers said that while they won’t file any post-trial motions, they reserve the right to appeal the case’s outcome.

“On behalf of our client, Samuel Bankman-Fried, we respectfully submit this letter to update the Court on the status of post-trial motions. After further consideration, we have decided not to file any post-trial motions. We reserve our rights to pursue any claims on appeal.”

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Featured Image: Shutterstock/Tithi Luadthong/Satheesh Sankaran

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