FTX founder Sam Bankman-Fried faces arraignment in New York – Enterprise Information

FTX founder in court docket

The Related Press – | Story: 404290

FTX founder Sam Bankman-Fried shall be arraigned in a Manhattan federal court docket Tuesday on prices that he cheated traders and looted buyer deposits on his cryptocurrency buying and selling platform.

Bankman-Fried, 30, was accused of illegally diverting huge sums of buyer cash from FTX to make lavish actual property purchases, donate cash to politicians and make dangerous trades at Alameda Analysis, his cryptocurrency hedge fund buying and selling agency.

He’s anticipated to plead not responsible earlier than Decide Lewis A. Kaplan earlier than the choose and legal professionals talk about a schedule for continuing towards a trial.

Carolyn Ellison, 28, who ran Alameda, and Gary Wang, 29, who co-founded FTX, have pleaded responsible to fraud prices and are cooperating with prosecutors in a bid for leniency. Each are free on bail.

Their pleas have been saved secret till Bankman-Fried was within the air after his extradition from the Bahamas, the place FTX relies, on account of fears that he may flee.

Bankman-Fried, 30, was launched from custody on a $250 million private recognizance bond with digital monitoring about two weeks in the past on the situation that he await trial at his dad and mom’ home in Palo Alto, California.