FTX founder Sam Bankman-Fried faces up to 115 years in jail after being found guilty on seven charges of fraud and conspiracy, as government prosecutor Damian Williams warned that the government has “handcuffs for all” crypto crooks.
“The cryptocurrency industry might be new,” New York Southern District US Attorney Williams said outside the courthouse. “The players like Sam Bankman-Fried might be new. But this kind of fraud, this kind of corruption, is as old as time.”
A jury unanimously found Bankman-Fried guilty on single counts of securities fraud, conspiracy to commit fraud, and conspiracy to commit money laundering, and on two counts each of wire fraud and conspiracy to commit wire fraud.
Each charge comes with a maximum sentence of 20 years, indicating the former crypto mogul may be sentenced to up to 115 years in jail.
Bankman-Fried is likely to appeal the decision. His attorney, Mark Cohen, expressed disappointment in the jury’s decision, saying his client maintained innocence and would “vigorously fight the charges against him.”
Bankman-Fried’s sentencing is set for March 28 next year, when prosecutors will recommend a sentence and Judge Kaplan will give his decision.
STATEMENT FROM THE TEAM OF SAM BANKMAN-FRIED —
“We respect the jury’s decision. But we are very disappointed with the result. Mr. Bankman Fried maintains his innocence and will continue to vigorously fight the charges against him.” pic.twitter.com/Q69w6nKB34
— Teddy Schleifer (@teddyschleifer) November 3, 2023
Sam Bankman-Fried Remains In Jail After Month-Long Trial
Bankman-Fried will remain in jail after Judge Kaplan revoked his bail in August. The judge agreed with the prosecution that the FTX founder misused his bail to tamper with witnesses, including former Alameda CEO Caroline Ellison, who was also his former girlfriend.
The trial commenced in early October, with US prosecutors making arguments to prove he channeled around $8 billion in customer funds to affiliate Alamada Research and to personal property purchases and investments.
Bankman-Fried’s defence argued that he made honest mistakes and that the government unfairly portrayed him as a monster.
Former FTX and Alameda employees including: Ellison, Gary Wang, Adam Yedidia, and Nishad Singh all testified against Bankman-Fried, saying they acted under his direction.
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