A US federal judge sent the founder of the FTX cryptocurrency platform, Sam Bankman-Fried (known as SBF), to prison this Friday for alleged tampering with witnesses ahead of the trial he faces on October 2 for crimes of fraud.
Judge Lewis Kaplan presided over a hearing regarding the conditions of SBF’s bail after prosecutors argued that the disgraced businessman was following a “pattern of witness tampering”, and sided with them that his conduct constituted probable cause, according to CNN.
According to the judicial file of the case, to which EFE had access, the defendant’s bail was “revoked” and he was sent to “pretrial detention”, and according to the journalists present in the room, he left handcuffed to be admitted to the Brooklyn Metropolitan Detention Center (New York).
Judge Kaplan had previously imposed a “gag order” on SBF but on Friday said it was not enough to prevent him from leaking information about the case and noted that SBF has attempted witness tampering on at least two occasions, the outlet added.
SFB, 31, was arrested in December 2022 and is accused by the US Justice of seven counts that include fraud and money laundering for, among other things, allegedly diverting billions of dollars from clients of FTX for other purposes and to be able to lead a life of luxury.
Since his extradition to New York from the Bahamas -where FTX had its headquarters and he resided-, he remained under house arrest at his parents’ house in Palo Alto (California) after agreeing to a large bail of 250 million dollars, one of the highest of history.
In July, prosecutors accused the former CEO of FTX of leaking personal documents of Caroline Ellison, one of his associates and with whom he was romantically linked, to The New York Times after learning she could testify against him at trial. looking for benefits in their own process.
According to the Prosecutor’s Office, this was one of several episodes in which SBF had communicated with the media and had served as a source for their information as part of a campaign to try to discredit potential witnesses and influence the process.
FTX, once one of the world’s largest cryptocurrency platforms, plunged rapidly last November after many users rushed to withdraw their funds amid reports casting doubt on the company’s solvency.
Three of SBF’s former partners, including Ellison, have admitted their guilt before the Prosecutor’s Office and have shown themselves willing to collaborate with the investigations, which may complicate the situation of the former millionaire.
The rise and fall of the very young millionaire, who made his fortune in the dazzling world of cryptocurrencies, is one of the most spectacular and exemplary cases experienced in recent years in the world of finance.
The supervised release that he has enjoyed during these seven months was highly criticized, and the imposition of that large bail so that he could continue living a comfortable life set as an example of how Justice does not always apply the same standards.
