FTX Founder Sam Bankman-Fried Arrested for Attempting to Influence Witnesses

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Judge sends FTX founder Sam Bankman-Fried to jail, says crypto mogul tampered with witnesses

FTX founder Sam Bankman-Fried, center, arrives at Manhattan federal court, Friday Aug. 11, 2023, in New York. FTX founder Sam Bankman-Fried left a federal courtroom in handcuffs Friday when a judge revoked his bail after concluding that the fallen cryptocurrency wiz had repeatedly tried to influence witnesses against him.

Kaplan said there was probable cause to believe Bankman-Fried had tried to "tamper with witnesses at least twice" since his December arrest, most recently by showing a journalist the private writings of a former girlfriend and key witness against him and in January when he reached out to FTX's general counsel with an encrypted communication.

Attorney Mark Cohen asked the judge to suspend his incarceration order for an immediate appeal, but Kaplan rejected the request. Within an hour, defense lawyers had filed a notice of appeal. Two weeks ago, prosecutors surprised Bankman-Fried's attorneys by demanding his incarceration, saying he violated those rules by showing The New York Times the private writings of Caroline Ellison, his former girlfriend and the ex-CEO of Alameda Research, a cryptocurrency trading hedge fund that was one of his businesses.

 

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Crypto Visionary Sam Bankman-Fried Arrested for Witness TamperingSam Bankman-Fried, once seen as a savvy crypto visionary, has been arrested for allegedly tampering with witnesses. Judge Lewis A. Kaplan believes that Bankman-Fried pushed the boundaries of his bail package, leading to his arrest. This marks a significant downfall for the entrepreneur who had testified before Congress and hired celebrities to promote his businesses.
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