FTX's Bankman-Fried Tries to Convince Court to Dismiss Criminal Charges
Main page News, FTX, Regulations, Cryptocurrency
Hot topic
May 9, 2023

Disgraced crypto entrepreneur Sam Bankman-Fried is trying to convince a federal court in Manhattan to dismiss most of the criminal charges against him related to the collapse of FTX.

Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world

As per a report from Reuters, Bankman-Fried's lawyers were portraying the now-bankrupt crypto exchange as a victim of the so-called crypto winter in 2022, saying prosecutors charged their client in a "rush to judgment." The defense claims the government "jumped in with both feet, improperly seeking to turn these civil and regulatory issues into federal crimes."

Bankman-Fried has pleaded not guilty to eight charges. Federal prosecutors believe the disgraced crypto entrepreneur orchestrated a fraud that led to the collapse of the exchange. The government also alleges Bankman-Fried misappropriated billions of dollars in customer deposits though his own hedge fund — Alameda Research.

FTX's SBF Faces 12 New Charges Over 300 Illegal Political Donations

FTX filed for Chapter 11 bankruptcy protection in the US last year. According to court documents, the now-bankrupt trading platform owes its users around $10 billion and has over 1 million creditors.

In March 2023, the FTX debtors revealed that before going bankrupt, the collapsed exchange had sent a total of $3.2 billion to former top managers, including Sam Bankman-Fried, Nishad Singh, Zixiao "Gary" Wang and Carolina Ellison.

Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange

Read also:
Please describe the error