Disgraced FTX fraudster Sam Bankman-Fried has recently been transferred out of a New York federal prison after spending almost two years behind bars in the city. According to prison records, Bankman-Fried was moved from Metropolitan Detention Center in Brooklyn, NY to the Federal Transfer Center in Oklahoma City, OK.
The Wall Street Journal reported that guards woke Bankman-Fried at 3 a.m. on Wednesday before his transfer to the holding facility. While the specific reason for his transfer was not disclosed, it is believed to be related to his recent unauthorized interview with Tucker Carlson, which led to his placement in solitary confinement.
Bankman-Fried had been in prison since August 2023 when his bail was revoked by Judge Lewis Kaplan for leaking excerpts of his ex-girlfriend Caroline Ellison’s diary to the New York Times, potentially tampering with a witness. Ellison, who was considered a star witness against Bankman-Fried in his trial for orchestrating a massive crypto scheme that defrauded investors of over $8 billion, was sentenced to two years in federal prison for her role in the scheme.
At his sentencing in March 2024, Bankman-Fried was given a 25-year prison term and ordered to pay an $11 billion fine. Despite the conviction, he maintained his innocence and expressed regret for underestimating the risk of getting caught.
Bankman-Fried’s associates at FTX, including co-founder Gary Wang and director of engineering Nishad Singh, cooperated with the government and testified against him. Wang and Singh received sentences of time served, while Bankman-Fried faces a lengthy prison term.
The transfer to Oklahoma City may impact Bankman-Fried’s legal proceedings, limiting his access to legal counsel and potentially affecting his ability to file appeals. The move also raises questions about custody protocols for high-profile inmates and may prompt a reevaluation of prison management practices.
Overall, Bankman-Fried’s relocation marks a significant development in his case as he continues to face legal challenges while serving his sentence. The transfer to a new facility closer to his hometown of Stanford, CA suggests a shift in his confinement and may signal changes in his interaction with legal teams and appeal tactics.