Sam Bankman-Fried Pleads Not Guilty to Fraud and Money Laundering Charges

Sam Bankman-Fried Pleads Not Guilty to Fraud and Money Laundering Charges
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Disgraced FTX cryptocurrency exchange founder, Sam Bankman-Fried, has pleaded not guilty on Tuesday to fraud and money laundering charges after United States prosecutors filed a new indictment against the former CEO on seven counts of conspiracy on August 14.

According to reports, Sam Bankman-Fried pleaded not guilty to an array of criminal charges tied to last year’s collapse of his FTX empire. The former billionaire was charged with seven counts of fraud and money laundering, along with an additional charge of embezzling customer funds for political campaign contributions before the 2022 U.S. midterm elections. 

Lawyer Says that Sam Bankman-Fried Lives in Substandard Conditions

The prosecutors alleged that Bankman-Fried hid his actions by directing money from FTX’s sister company Alameda into the personal accounts of FTX executives, diverting the donations in their names.

The latest proceedings in the FTX lawsuit come after Sam Bankman-Fried’s bail was revoked, after a federal judge said that the embattled crypto mogul likely tried to tamper with two witnesses while on bail. In addition to pleading not guilty, Bankman-Fried’s legal counsel alleged that he is living in substandard conditions at Brooklyn’s Metropolitan Detention Center.

Lawyer Says SBF Lives in Substandard Conditions

His lawyer, Mark Cohen raised concerns pertaining to his medical needs, sharing that SBF takes “Adderall” and follows a vegan diet but has not received his medication in the last 11 days.

The court proceedings saw Sam Bankman-Fried lawyers request a vegan diet for their client along with access to internet-enabled laptops to review documents produced during the discovery phase.

Cohen added that his client’s supply of the medication “Emsam” to treat depression was also running low, highlighting, “Because he’s following his principles, he is literally now subsisting on bread and water.”

Bankman Sticks to “Not Guilty” Stance

This comes after Judge Lewis A. Kaplan authorized a new set of bail conditions for Bankman-Fried in March 2023 that had significantly curtailed his internet access, permitting him to use only two electronic devices, a laptop configured with limited internet access and a phone with no internet connection.

This is not the first time the 31 year old has pleaded not guilty. Earlier in March 2023, Bankman-Fried pleaded not guilty in New York federal court to five additional charges related to the collapse of his former crypto exchange and hedge fund Alameda Research.

Additionally, in January 2023, he echoed the same stance, pleading not guilty to eight charges, less than two months after his crypto empire collapsed.


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