Sam Bankman-Fried, the previous CEO of the now-bankrupt crypto change FTX, had his bail revoked ahead of his October trial, US District Court Judge Lewis Kaplan stated on Friday.
The determination got here after allegations that Bankman-Fried leaked the diary of Caroline Ellison, the previous CEO of FTX’s investment-arm Alameda Research, to the New York Times. Kaplan introduced the choice in a federal courtroom in Manhattan on Friday afternoon.
Bankman-Fried is facing a number of charges, together with defrauding FTX traders, from the U.S. Securities and Exchange Commission, the Commodity Futures Trading Commission and the Southern District of New York’s legal professional’s workplace. He plead not guilty to U.S. prison fees earlier this 12 months.
Initially, Bankman-Fried requested entry to Google Drive, which he stated was “for discovery,” Inner City Press reported that Assistant US Attorney Danielle Sassoon said on Friday on the listening to. “Then he used it to give Ms. Ellison’s documents to the New York Times.”
In a July 26 listening to, Kaplan inhibited Bankman-Fried from talking publicly about his case, six days after the New York Times article on Ellison’s diary was published.
He was previously underneath home arrest at his mother and father’ residence in Palo Alto, Calif., on a $250 million bond, since his December 2022 arrest, however is now going through repercussions for allegedly intimidating witnesses like Ellison.
The federal choose stated a gag order wasn’t enough given Bankman-Fried’s repeated misbehavior for crossing “a line.”
Kaplan said throughout the listening to there’s a “possibility that he will be detained at the [The Metropolitan Detention Center], not on anyone’s list of five star facilities.” But famous Bankman-Fried could possibly have a “dedicated laptop” on the jail in Brooklyn, New York, for 9 to 11 hours a day.
In late December, Ellison and former FTX co-founder Gary Wang plead guilty to a number of fees and accepted plea agreements that provide lowered sentencing in change for cooperating with U.S. authorities.
This is a creating story and could also be up to date as extra data arises.