FTX founder Sam Bankman-Fried (SBF) is continuing his fight to overturn his fraud conviction following the US government’s dismissal of his appeal.
Bankman-Fried and his legal team are arguing that the trial was flawed due to suppressed evidence and are pushing for another chance under a different judge.
Sam Bankman-Fried’s Defense on FTX Customer Losses
In a recent court filing on January 31, Bankman-Fried reiterated his belief that the trial was unjust, citing potential judicial bias that may have influenced the outcome.
His lawyers are emphasizing that FTX customers did not suffer financial losses and are pointing to potential recovery through investments in companies like Anthropic, Solana, and Mysten Labs.
One notable investment highlighted in his appeal is Anthropic, where Bankman-Fried’s early stake of $500 million has now grown to a valuation of $60 billion, showcasing his financial acumen and potential to restore FTX’s solvency.
“Bankman-Fried’s investment in Anthropic has proven to be a brilliant move, with significant returns that could have benefitted FTX creditors,” his legal team stated.
The appeal also raises concerns about the court suppressing crucial evidence, particularly regarding Bankman-Fried’s adherence to legal counsel’s advice in shaping FTX’s policies.
Furthermore, his legal team accuses FTX’s legal representatives, Sullivan & Cromwell (S&C), of conflicts of interest and allege that the firm’s actions may have contributed to his indictment.
“S&C’s involvement in FTX’s operations and their actions post-collapse raise questions about their motives and potential conflicts of interest,” his lawyers argued.
Addressing the court’s decision to order Bankman-Fried to repay over $11 billion, his legal team deems the ruling as “unlawful” and “unattainable,” highlighting that he has already surrendered all his assets.
“There is no feasible way for Bankman-Fried to repay the imposed financial penalties, given that he has already divested all his assets,” his lawyers stated.
Amidst these legal battles, rumors suggest that Bankman-Fried’s parents are exploring avenues for a presidential pardon, while FTX creditors await further developments in the ongoing bankruptcy proceedings.