FTX founder pleads not guilty to fraud

FTX founder pleads not guilty to fraud

Sam Bankman-Fried, the former head of bankrupt cryptocurrency exchange FTX charged with eight counts of wire fraud and illegal campaign finance, pleaded not guilty at a pretrial hearing the previous day.

District Judge Lewis Kaplan granted the defendant’s motion to withhold the names of the two people who guaranteed his $250 million bail for reasons of security and confidentiality. Assistant prosecutor Danielle Sassoon, speaking for the prosecution, said the bulk of the material will be presented in the near future – documents obtained from FTX executives who led the bankruptcy case would be attached to the case.

Assistant District Attorney Sassoon also asked the court to change the terms of the bail: Bankman-Fried should be barred from accessing assets of FTX and its affiliates, prosecutors said. She referred to the fact that after the former head of the crypto exchange was released on bail, Alameda crypto wallets resumed their work – they began transferring funds from them to other wallets. Bankman-Fried said he was not involved in those transactions, but a prosecutor’s spokesman recalled that he had previously “published false information.”

The trial in the case is set for October, when prosecutors will detail how the former FTX boss he says broke the law by deceiving customers, investors and creditors and violating campaign finance regulations. The defense can file an application for the proceedings to be dropped until April 3rd.

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Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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