Sam Bankman-Fried, the jailed co-founder of cryptocurrency exchange FTX, is requesting a new trial, alleging that a federal judge hindered his ability to present an adequate defence.
The request comes as Bankman-Fried, convicted of fraud in November, is serving a 25-year prison sentence following the collapse of FTX in 2022.
Bankman-Fried’s legal team filed an appeal with the 2nd Circuit US Court of Appeals in New York on Friday, according to the Bloomberg report.
His lawyers argue that the rush to convict him compromised his right to a fair trial. They accuse the presiding judge, US District Judge Lewis Kaplan, of bias, claiming his actions throughout the trial unfairly favored the prosecution.
Why did Sam Backman Accused the Judge?
His defence team argues that Judge Kaplan’s actions during the trial, such as his mocking of the defence and his favourable treatment towards the prosecution, prevented him from effectively presenting their side of the story.
Attorneys for Bankman-Fried claim in the appeal that following the failure of FTX, “everyone rushed to judgment.” They characterise the trial as a “tsunami of sentence first-verdict afterwards,” in which the rules of a fair trial were flouted. Bankman-right Fried’s to reply to the prosecution’s evidence and offer a defence was severely curtailed, according to his legal team.
In addition, the defence claims that Judge Kaplan exhibited partiality by continuously making fun of Bankman-Fried and his legal representative in front of the jury. They further claim that by pushing jurors to continue through the night and offering rewards like food and transportation, the judge put pressure on them to reach a rapid decision.
Sam Backman Requests for a New Judge
A new judge is to hear Bankman-Fried’s case, according to his appeal, which points to Kaplan’s “unbalanced” decisions. Numerous rulings made by the court during the trial, according to the defence team, unduly benefited the government’s case and hurt the defence.
Defendants frequently argue that there were court errors that led to their convictions, but Bankman-Fried’s legal approach focuses on Kaplan’s purported personal prejudice.
The judge is openly criticised in the appeal for accepting the prosecution’s case and mocking Bankman-Tried’s testimony.
FTX Collapse and Fraud Conviction
A prominent cryptocurrency exchange, FTX, crashed in late 2022, costing investors a lot of money. Bankman-Fried was found guilty of masterminding a multibillion-dollar fraud scheme via FTX, in which he embezzled client money to support his extravagant lifestyle and hazardous investments. The controversy rocked the cryptocurrency space and prompted more oversight and regulation.
Bankman-Fried has insisted that market circumstances, not deliberate misconduct, were to blame for FTX’s downfall ever since his conviction, despite being found not guilty. His legal team contends that he was not given a fair chance to defend himself and that the judge’s purported bias compromised the trial.
In a connected story, Bankman-Fried’s ex-girlfriend Caroline Ellison, a former top executive at FTX, is also receiving attention. Ellison’s defence team has asked that she be spared jail time when she is sentenced later this month.
Ellison was a key player in the FTX operations and was formerly a close acquaintance of Bankman-Fried. She has collaborated with the prosecution and given insightful testimony throughout the trial, which could have an impact on the length of her sentence.