2 months ago
Sam Bankman-Fried should walk 40 to 50 years successful situation aft being convicted of stealing $8 cardinal from customers of his now-bankrupt FTX cryptocurrency exchange, prosecutors said Friday.
The FTX founder was recovered guilty on each charges successful November related to nan illness of his cryptocurrency speech successful nan first of 2 criminal tests against nan erstwhile CEO.
FTX laminitis Sam Bankman-Fried appears successful national tribunal during his fraud proceedings successful Manhattan, N.Y., Oct. 26, 2023. (Jane Rosenberg / Fox News)
A assemblage successful a Manhattan national court agreed pinch prosecutors that Bankman-Fried defrauded investors, customers and lenders during nan illness of his crypto empire.
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"Even now, Bankman-Fried refuses to admit what he did was wrong," prosecutors wrote successful a sentencing memorandum. "His life successful caller years has been 1 of unmatched greed and hubris; of ambition and rationalization; and courting consequence and gambling many times pinch different people's money."
A spokesperson for nan erstwhile billionaire, Mark Botnick, declined to comment. Bankman-Fried's lawyers told U.S. District Judge Lewis Kaplan a 5¼- to 6½-year situation word would beryllium appropriate. They said FTX clients would get astir of their money backmost and that Bankman-Fried did not group retired to steal.
Former FTX CEO Sam Bankman-Fried arrives for a bail proceeding astatine Manhattan Federal Court Aug. 11, 2023, successful New York City. (Michael M. Santiago/Getty Images / Getty Images)
Kaplan is scheduled to condemnation Bankman-Fried March 28 successful Manhattan national court. Bankman-Fried plans to entreaty his condemnation and sentence.
Prosecutors accused Bankman-Fried, who founded and controlled some FTX and sister hedge money Alameda Research, of misappropriating and embezzling billions of dollars successful FTX customer deposits, scheming to mislead investors and instructing different executives astatine his businesses to do nan same.
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In nan trial, he faced 7 charges — 2 counts of ligament fraud and 5 conspiracy counts. The charges transportation a maximum condemnation of 110 years down bars.
Sam Bankman-Fried, co-founder of FTX Cryptocurrency Derivatives Exchange, leaves tribunal successful New York July 26, 2023. (Yuki Iwamura/Bloomberg via Getty Images / Getty Images)
"Sam Bankman-Fried perpetrated 1 of nan biggest financial frauds successful American history," U.S. Attorney for nan Southern District of New York Damian Williams said aft nan verdict was announced. "The cryptocurrency manufacture mightiness beryllium new. The players, for illustration Sam Bankman-Fried, mightiness beryllium new. But this benignant of corruption is arsenic aged arsenic time."
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Several members of Bankman-Fried's soul circle testified against him during nan trial. The prosecution's cardinal witnesses were Caroline Ellison, Bankman-Fried's ex-girlfriend and nan erstwhile CEO of Alameda Research, FTX co-founder Gary Wang and erstwhile FTX engineering main Nishad Singh. The trio had each antecedently pleaded blameworthy and agreed to cooperate pinch nan government.
Reuters contributed to this report.
