FTX’s Sam Bankman-Fried headed to jail after alleged witness tampering
- A US judge revoked the cryptocurrency firm founder’s bail after prosecutors said he ‘crossed a line’ by showing documents to a reporter while under house arrest
- Bankman-Fried had a blank expression as he was led out of the courtroom in handcuffs after removing his shoelaces, jacket and tie and emptying his pockets
Sam Bankman-Fried is heading to jail after a US judge on Friday revoked his bail, finding probable cause that the indicted founder of the bankrupt FTX cryptocurrency exchange tampered with witnesses at least twice.
US District Judge Lewis Kaplan’s decision to jail the 31-year-old former billionaire ahead of his October 2 fraud trial over FTX’s November 2022 collapse came after prosecutors said he had “crossed a line” by sharing private writings by former romantic partner Caroline Ellison with a New York Times reporter.
“He has already – without violating any other bail condition save that he not commit another crime – gone up to the line over and over again,” Kaplan, who is known for his no-nonsense demeanour in the courtroom, said in a hearing in Manhattan federal court.
The judge rejected a defence request to delay Bankman-Fried’s detention pending appeal of the decision.
The decision could complicate Bankman-Fried’s efforts to prepare for trial. He faces charges of having stolen billions of dollars in FTX customer funds to plug losses at his Alameda Research hedge fund, where Ellison was chief executive officer. She has pleaded guilty and is expected to testify against him at his October 2 trial.