SBF Files Appeal Challenging Fraud Conviction
Sam Bankman-Fried (SBF), co-founder of the collapsed crypto exchange FTX, has filed an appeal challenging his fraud conviction on Sept. 13. He argues that the trial was tainted by judicial bias and procedural errors.
Submitted to the Second Circuit Court of Appeals, the appeal alleges unfairness during the legal proceedings that led to SBF’s 25-year prison sentence and requests a new trial.
In October 2023, SBF was convicted on multiple charges, including fraud and conspiracy, for his involvement in FTX’s dramatic collapse the previous year.
Allegations of Bias and Procedural Errors
US District Judge Lewis Kaplan sentenced SBF to 25 years in prison in March. SBF’s new legal team, led by attorney Alexandra Shapiro, argues that Kaplan’s handling of the case was biased and influenced the outcome.
The appeal claims that Judge Kaplan made prejudicial remarks before the jury, portraying SBF as guilty before the trial’s conclusion. The defense also criticizes the judge for restricting key defense arguments, including evidence related to SBF’s efforts to stabilize the company.
Furthermore, the appeal raises concerns about procedural issues, including the claim that SBF was denied access to exculpatory evidence, known as Brady material, which could have supported his defense.
Defense Strategy
SBF insists that FTX’s financial issues were not as severe as portrayed and that many customers could recover their funds through bankruptcy proceedings. His legal team argues that the court unfairly blocked this argument from being presented to the jury, creating an incomplete picture of the company’s financial state.
The appeal also highlights testimony from SBF’s former associates, like Caroline Ellison and Gary Wang, who cooperated with prosecutors after pleading guilty to fraud charges.
Initially seeking a reduced sentence, SBF’s latest appeal aims to reverse the conviction entirely and secure a new trial.
SBF remains in custody as the appeal process unfolds. The outcome could have significant implications for his future and the fallout from FTX’s collapse, a pivotal moment in the crypto industry’s history.