Sam Bankman-Fried, the co-founder of FTX, will face two separate trials for a total of 13 charges leveled against him. The charges include allegations of fraud, fraud conspiracy, bribery, and more. Previously scheduled to commence on October 2, the trial for all the charges has been divided into two parts, with the first trial proceeding as planned and the second trial set for March 11, 2024, media reports said.
United States District Court Judge Lewis Kaplan issued a ruling on June 15, granting the splitting of the charges. Bankman-Fried had been extradited to the United States in December 2022 on eight initial charges, with an additional five charges added in February and March 2023 through further indictments.
However, the Department of Justice (DOJ) prosecutors requested a waiver from Bahamian authorities to try Bankman-Fried on the additional charges imposed after his extradition.
Bankman-Fried’s defense team argued for the dismissal of the charges added after his extradition, claiming that he could not be tried for offenses that occurred subsequent to his extradition.
On June 14, DOJ lawyers announced their decision to proceed with the original eight charges against Bankman-Fried, expressing concerns over potential delays if the court were to await the approval of a motion filed by the FTX co-founder in The Bahamas.
The forthcoming trial in March 2024 will primarily focus on charges related to bribery conspiracy, conspiracy to operate an unlicensed money-transmitting business, bank fraud conspiracy, as well as derivatives and securities fraud.
The remaining charges involve various wire, derivatives, and securities fraud, conspiracy activities allegedly carried out at FTX and Alameda Research, and accusations of money laundering.
These legal proceedings have garnered significant attention within the cryptocurrency industry, as Bankman-Fried is a prominent figure in the sector. FTX, the exchange he co-founded, has gained substantial popularity and influence in the crypto space. The outcome of the trials will undoubtedly have implications for both Bankman-Fried and the broader crypto community.
As the trial dates draw closer, many will be closely watching the legal proceedings and their potential impact on the future of FTX and the cryptocurrency industry as a whole.
