- SBF, the former CEO of the crypto exchange FTX, has had his bail revoked by a U.S. judge.
- Sam Bankman-Fried accused of witness tampering, sharing private writings with NY Times.
Sam Bankman-Fried, the former CEO and founder of the FTX cryptocurrency exchange, has been sent to jail after a U.S. judge revoked his bail. The decision comes ahead of his upcoming trial, where he faces multiple financial crime charges stemming from FTX’s collapse in November 2022.
U.S. District Judge Lewis Kaplan made the decision after finding probable cause that Bankman-Fried had tampered with witnesses at least two times. Prosecutors revealed that Bankman-Fried had shared private writings from his former partner, Caroline Ellison, with a reporter from The New York Times, crossing ethical boundaries.
Back Story of FTX’s Former CEO, SBF Jail
Bankman-Fried, once a billionaire, had been released on bail in December 2022 against a $250 million bond. However, his bail conditions had been revised twice due to alleged misconduct. These revisions limited his access to technology, allowing him a phone without internet capabilities and a restricted-use laptop.
Further, the hearing that led to the bail revocation primarily focused on the U.S. Department of Justice’s claims of witness tampering. The prosecution cited Bankman-Fried’s use of a Virtual Private Network (VPN) to communicate with individuals. Including FTX.US counsel, and his leaking of personal and intimate entries from Caroline Ellison’s diary to the New York Times.
Moreover, Judge Lewis Kaplan noted that the leaked diary entries were of a personal and intimate nature, rather than business-related. This revelation likely played a pivotal role in his decision to revoke Bankman-Fried’s bail.
As the trial date of October 2 approaches, the crypto community awaits the outcome of the trial. That will determine whether Bankman-Fried is guilty of the alleged financial crimes that contributed to FTX’s downfall.
