U.S. Prosecutors Abandon Plan to Retry FTX Founder Sam Bankman-Fried

By: Isha Das

U.S. prosecutors have announced they will not pursue a second trial against Sam Bankman-Fried, former founder of FTX. Initially convicted of seven counts of fraud, Bankman-Fried was anticipated to face additional charges related to unlawful political campaign contributions in a separate trial. On record, he has donated a staggering $119 million to various political campaigns. Following his extradition from The Bahamas in December 2022, more charges were included stemming from a superseding indictment in March 2023.

However, complications occurred as The Bahamas informed the U.S. that it did not consent to Bankman-Fried being tried on the added charges not included in the extradition treaty. To avoid delays, the prosecutors moved forward with the trial in October focusing on the seven originally decided charges. The planned second trial would have necessitated the presentation of significant duplicate evidence from the first trial.

Ultimately, it has been determined that a second trial would not impact the duration of Bankman-Fried's sentence or the United States Sentencing Guidelines range for the defendant. As a result of delays and the necessity of swift resolution for the benefit of public interest, U.S. prosecutors decided to forego a second trial. The outcome could significantly influence FTX's efforts to recoup the contributions made by Bankman-Fried.