FTX founder Sam Bankman-Fried keeps talking, ignoring typical legal strategy

After the November collapse of FTX, the cryptocurrency exchange he founded in 2019,unexpectedly gave a series of interviews intended to present his version of events. He was indicted in December and charged with perpetrating one of the biggest frauds in U.S. history – and he’s still talking, either in person or on the internet.

Bankman-Fried’s most immediate concern, however, is a recent private communication. Prosecutors say he sent an encrypted message over the Signal texting app on Jan. 15 to the general counsel of FTX US, a likely witness for the government. Bankman-Fried will be back in a New York court Thursday, where a judge could imposeBefore its collapse, FTX was the world’s second-largest crypto exchange and Bankman-Fried, 30, was its CEO and a billionaire several times over, at least on paper.

Those assertions are likely to be refuted by one of the government’s key witnesses. Caroline Ellison, the former CEO of Alameda, has agreed to plead guilty for her role in FTX’s collapse and to testify against Bankman-Fried. In a plea hearing in December, Ellison said she knew FTX had used billions in customer funds to make loans to Alameda and agreed with Bankman-Fried and others to take steps to conceal the nature of the loans.

For instance, Bankman-Fried says that when FTX collapsed, outside parties had made funding offers totalling billions of dollars, and if given a few weeks the company could have raised enough money “to make customers substantially whole.” Instead, it was “strong-armed” into filing for bankruptcy protection by its main law firm, Sullivan & Cromwell, a claim the firm denies.

Bankman-Fried was scheduled to testify under oath in front of Congress in December with Ray, but that appearance was cancelled because of his arrest in the Bahamas, where FTX is based.

Source: Law Daily Report (lawdailyreport.net)

Canada Latest News, Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

U.S. judge rejects new bail conditions for FTX founder Sam Bankman-FriedThe judge did not provide reasons for the denial, and said a hearing on Sam Bankman-Fried’s bail remains scheduled for Feb. 9
Source: globeandmail - 🏆 5. / 92 Read more »

U.S. judge rejects new bail conditions for FTX founder Bankman-FriedA federal judge on Tuesday rejected a proposal to modify Sam Bankman-Fried's bail conditions, despite an agreement between the FTX cryptocurrency exchange founder and prosecutors to address potential witness tampering concerns.
Source: CTVCalgary - 🏆 26. / 68 Read more »

Voyager Digital subpoenas SBF and others from FTX and AlamedaVoyager Digital has subpoenaed several executives from FTX and Alameda, including Sam Bankman-Fried and Caroline Ellison. The bankrupt crypto lender’s lawyers have requested documents related to communication between FTX and the SEC. Bankrupt crypto lender Voyager Digital has served subpoenas to several FTX executives and its sister firm, Alameda Research. These executives include founder and […]
Source: CryptoAmb - 🏆 22. / 68 Read more »

'THIS IS EVIL': Ted Cruz, Marjorie Taylor Greene rage against 'Satanic' Sam SmithConservatives are raising all sorts of hell following Sam Smith\u0027s provocative performance of their Grammy\u002Dwinning track Unholy. This year, the Grammys was uber satanic. Wow 🤪🤪🤪 I grew up listening to Marilyn Manson. Not sure why this is such a big deal. Sam Smith is a 🤡. Just doing this for the attention and he’s getting it 🤦‍♂️ thats what they wanted
Source: TheTorontoSun - 🏆 23. / 68 Read more »

'THIS IS EVIL': Ted Cruz, Marjorie Taylor Greene rage against 'Satanic' Sam SmithConservatives are raising all sorts of hell following Sam Smith\u0027s provocative performance of their Grammy\u002Dwinning track Unholy.
Source: calgarysun - 🏆 63. / 52 Read more »

Calgary's Sam Adekugbe shaken by scene after surviving Turkey quakesSam Adekugbe survived the natural disaster. Sullen and still visibly shaken, he recalled the early\u002Dmorning scene in Antakya, Turkey.
Source: calgaryherald - 🏆 64. / 52 Read more »