24-7-2023 (NEW YORK) In the ongoing criminal fraud case against FTX founder Sam Bankman-Fried, his lawyers have categorically rejected prosecutors’ allegations of witness tampering. However, in a letter addressed to the judge, they stated their willingness to comply with a gag order to avoid any potential interference with the case.
The letter, which was released on Sunday, followed the prosecutors’ move to prevent Bankman-Fried and his associates from making public statements that could affect the trial.
FTX, a prominent cryptocurrency exchange once valued at $32 billion, filed for bankruptcy protection in November after facing challenges in repaying its depositors. Bankman-Fried, at the center of the legal battle, has consistently pleaded not guilty to the charges of fraud.
In the letter to the judge, Bankman-Fried’s attorney, Mark Cohen, confirmed that his client had engaged in discussions with a New York Times reporter and had shared personal documents. These documents included writings by a former colleague, Caroline Ellison, who is cooperating with U.S. authorities in the case.
The lawyer emphasized that Bankman-Fried’s actions did not breach any protective orders, bail conditions, or laws governing his conduct. The statements were made to counter the prosecution’s claims of witness tampering.
The New York Times published an article titled “Inside the Private Writings of Caroline Ellison, Star Witness in the FTX Case,” which contained excerpts from Ellison’s personal Google documents from before FTX’s collapse. In these writings, Ellison expressed her discontent with her job and emotions related to her breakup with Bankman-Fried.
Caroline Ellison, who once led Bankman-Fried’s Alameda Research hedge fund, has already pleaded guilty to defrauding investors and has agreed to cooperate with the prosecution. In a previous statement, Bankman-Fried acknowledged having had a relationship with Ellison but did not provide further details.
As the legal battle continues, Bankman-Fried’s lawyers remain committed to defending their client against the charges of fraud. The acceptance of a gag order demonstrates their willingness to adhere to legal procedures and avoid any actions that could potentially hinder the case.
