Sam Bankman-Fried Denied Temporary Release Ahead of Fraud Trial

By: Eva Baxter

The former FTX CEO, Sam Bankman-Fried, has been denied temporary release from jail before his imminent criminal trial set to begin next week. Despite multiple attempts from his legal team to argue for his release, U.S. District Judge, Lewis Kaplan, further denied the motion. The judge cited the potential flight risk of the defendant and expressed concerns about his young age and the severe sentence he might face if convicted. Binance

The trial, poised to start on October 3 and running up to six weeks, primarily focuses on the charges related to fraud and money laundering. The trial follows the notorious collapse of FTX in November 2022. Bankman-Fried is facing seven counts of fraud and conspiracy charges linked to the company's downfall and is currently being held at the Metropolitan Detention Center (MDC) in Brooklyn. His legal team argued for his temporary release, indicating the existing detention conditions affect their apt ability to prepare for the forthcoming proceedings.

Apart from the current trial, Bankman-Fried will face five additional charges in a separate criminal trial scheduled for March 2024. Various former associates of Bankman-Fried, including Caroline Ellison and Ryan Salame, already pleaded guilty to diverse charges linked to the downfall of FTX and its sister firm, Alameda Research.