In a recent development, FTX’S Sam Bankman-Fried’s plea for temporary release during his trial has been rejected by United States District Judge Lewis A. Kaplan. Bankman-Fried is facing charges related to the alleged defrauding of cryptocurrency investors from FTX’s collapse in November 2022.
As reported by Reuters, during a hearing, Judge Kaplan denied a request by Bankman-Fried’s legal team to grant their client temporary bail to better prepare for his defense. The 31-year-old former billionaire, who has pleaded not guilty to seven counts of fraud and conspiracy, had hoped for the opportunity to assist his lawyers in building his case. However, Judge Kaplan deemed him a flight risk, citing concerns about the charges’ severity.
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Bankman-Fried potentially faces a maximum sentence of 110 years in prison, although the actual sentence will be determined by Judge Kaplan, considering various factors. Prosecutors opposed Bankman-Fried’s request for temporary release, emphasizing that he had already been free on bail for seven and a half months at his residence in Palo Alto, California, which provided ample time to prepare for trial.
Judge Kaplan said, “Your client, in the event of conviction, could be looking at a very long sentence. If things look bleak, maybe the time would come when he would seek to flee.”
Defense attorney Mark Cohen, representing Bankman-Fried, argued that there was no compelling reason to deny his client temporary release, asserting that he had never demonstrated any indication of being a flight risk. However, Judge Kaplan remained steadfast in his decision.
The decision to keep Bankman-Fried in custody was made on August 11 after allegations surfaced that he had tampered with witnesses on at least two occasions. This included sharing private writings of former Alameda chief executive officer Caroline Ellison with a New York Times reporter.
