SBF to be tried on original 8 criminal charges, say US prosecutors.

The criminal trial of Sam Bankman-Fried, co-founder of FTX, will proceed with the eight charges initially filed against him by United States prosecutors — for now.

In a court filing on June 14, the U.S. Department of Justice (DoJ) prosecutors wrote to district judge Lewis Kaplan stating that they will proceed with trying Bankman-Fried on the eight charges from the December 2022 indictment.

The DoJ lawyers cited a motion filed by Bankman-Fried in the Bahamas who argued that many of the 13 charges he faced were not in the original indictment, which was the basis for his extradition from the country. As the litigation of the motion may take some time, the prosecutors wrote that they are “prepared to proceed to trial as scheduled on the counts contained in the original indictment.”

“It now appears that litigation of that motion will take some time and may not be resolved until near or even after the trial date.”

On June 14, the Supreme Court of the Bahamas ruled that Bankman-Fried must have the opportunity to formally challenge the new charges before the country can agree to them.

After Bankman-Fried’s extradition, the DoJ unsealed four additional charges in February relating to fraud and fraud conspiracy charges, in addition to another charge in March alleging bribes to Chinese officials.

Related: SBF seeks to sever new charges from trial, says proceedings may take ‘years’

Bankman-Fried, the founder and former CEO of crypto exchange FTX, was initially charged in December 2022 in connection with the failed exchange’s management. The exchange suffered a liquidity crisis in November 2022, leading to its bankruptcy shortly after that.

The estimated debt of FTX to its creditors is over $3 billion. Prosecutors allege that Bankman-Fried commingled customer funds and misled investors about FTX’s risk management practices, leading to losses for investors and customers.

Caroline Ellison, the former CEO of sister company Alameda Research, and FTX co-founder Gary Wang have both pleaded guilty to fraud charges in connection with the exchange’s collapse. However, Bankman-Fried has claimed that management mistakes, and not fraud, caused the collapse.

Magazine: Crypto regulation: Does SEC Chair Gary Gensler have the final say?

We will continue to update Phone&Auto; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

DeFi

Elon Musk renames Twitter to X, sparking many wannabe tokens.

One token skyrocketed by an impressive 1,200% despite the closure of its associated project in May, as indicated by t...

DeFi

Could $100B loss by the Fed spell catastrophe for Bitcoin?

In Macro Markets, Marcel Pechman highlights the potential impact on crypto as the U.S. Federal Reserve faces a potent...

News

OKX DEX Exploited: A Roller Coaster Ride for Digital Asset Investors

Major Exploitation at OKX DEX Cross-Chain Bridge and Decentralized Exchange Falls Victim, Causing Loss of $400,000 fo...

DeFi

Tether lost its peg, resulting in a large sell-off of USDT on Curve and Uniswap, leading to a suggestion to switch to other stablecoins.

Tether's stablecoin is no longer worth one US dollar, as two major pools used for trading stablecoins in decentralize...

DeFi

SBF to be tried on original 8 criminal charges, say US prosecutors.

Lawyers from the Department of Justice stated that they made the decision after a co-founder of FTX filed a lawsuit i...

DeFi

Uniswap and DoDAO launch educational platform.

Uniswap is widely recognized as one of the most vibrant decentralized exchanges in the blockchain industry.