Former FTX CEO Sam Bankman-Fried’s bail revoked ahead of October trial

Sam Bankman-Fried, the previous CEO of the now-bankrupt crypto alternate FTX, had his bail revoked forward of his October trial, US District Court docket Choose Lewis Kaplan mentioned on Friday.

The choice got here after allegations that Bankman-Fried leaked the diary of Caroline Ellison, the previous CEO of FTX’s investment-arm Alameda Analysis, to the New York Occasions. Kaplan introduced the choice in a federal courtroom in Manhattan on Friday afternoon.

Bankman-Fried is facing a number of charges, together with defrauding FTX traders, from the U.S. Securities and Trade Fee, the Commodity Futures Buying and selling Fee and the Southern District of New York’s legal professional’s workplace. He plead not guilty to U.S. felony expenses earlier this 12 months.

Initially, Bankman-Fried requested entry to Google Drive, which he mentioned was “for discovery,” Internal Metropolis Press reported that Assistant US Legal professional Danielle Sassoon said on Friday on the listening to. “Then he used it to provide Ms. Ellison’s paperwork to the New York Occasions.”

In a July 26 listening to, Kaplan inhibited Bankman-Fried from talking publicly about his case, six days after the New York Occasions article on Ellison’s diary was published.

He was previously underneath home arrest at his mother and father’ house in Palo Alto, Calif., on a $250 million bond, since his December 2022 arrest, however is now going through repercussions for allegedly intimidating witnesses like Ellison.

The federal decide mentioned a gag order wasn’t ample given Bankman-Fried’s repeated misbehavior for crossing “a line.”

Kaplan said through the listening to there’s a “chance that he will likely be detained on the [The Metropolitan Detention Center], not on anybody’s listing of 5 star amenities.” However famous Bankman-Fried could possibly have a “devoted laptop computer” on the jail in Brooklyn, New York, for 9 to 11 hours a day.

In late December, Ellison and former FTX co-founder Gary Wang plead guilty to a number of expenses and accepted plea agreements that provide decreased sentencing in alternate for cooperating with U.S. authorities.

This can be a growing story and could also be up to date as extra data arises.