FTX’s Sam Bankman-Fried Battles US Post-Extradition Charges in Bahamas

FTX’s Sam Bankman-Fried Battles US Post-Extradition Charges in Bahamas

Time Stamp: June 13, 2023 6:09 PM
Source Node: 2132122

Sam Bankman-Fried, the
disgraced founder of bankrupt cryptocurrency exchange FTX, has made a move to
dismiss the charges slapped on him by US prosecutors after his extradition from
the Bahamas, Reuters reported on Tuesday. The former crypto
billionaire’s lawyers have asked the Supreme Court of the Bahamas to stop the
island’s country’s government from consenting to
the
post-extradition charges.

Bankman-Fried Moves against US Charges

According to the wire agency, Bankman-Fried’s lawyers disclosed the move in
documents filed before a federal court in Manhattan, United States, on Monday
evening. The lawyers are arguing that the extra charges contravene the terms of
extradition agreement between Bahamas and the United
States. The extradition
treaty between both countries requires the country releasing a defendant to give its consent before additional charges can be initiated after the extradition.

Bankman-Fried was arrested in the Bahamas in late 2022 over the collapse of FTX after criminal
charges were filed against him in the United States. He was later extradited to
the US where he was initially charged with
eight counts, including conspiracy to
commit wire and securities fraud, money laundering and conspiracy to avoid
campaign finance regulations.

However, prosecutors have
since expanded the charges to 13, including conspiracy to commit bank fraud and
violate the anti-bribery provisions of the United States by bribing Chinese officials
in late 2021. However, Bankman-Fried
lawyers in the new court filings said they intend to contest the extra charges
in Bahamas court should the island country’s government consent to the charges,
Wall Street Journal (WSJ) reported.

The lawyers also asked US
District Judge Lewis Kaplan to throw out the changes or try them separately
from the FTX founder’s trial scheduled for October 2, 2023.

“Mr. Bankman-Fried will
suffer if required to prepare for a trial that is less than four months away
without knowing whether he will be tried on nearly half of the counts,” the
lawyers said in the filing, as quoted by WSJ.

In May, the US Justice
Department said it would drop some of the charges against Bankman-Fried if the
Bahamas does not consent to them. However, the prosecutors last month slammed pre-trial motions filed by Bankman-Fried’s lawyers to dismiss a number of the
13 charges against him.

FTX crumbled in November last year after a liquidation crisis, costing billions of dollars in losses to investors.

BidFX hires eFX expert; Orbex’s prepaid card; read today’s news nuggets.

Sam Bankman-Fried, the
disgraced founder of bankrupt cryptocurrency exchange FTX, has made a move to
dismiss the charges slapped on him by US prosecutors after his extradition from
the Bahamas, Reuters reported on Tuesday. The former crypto
billionaire’s lawyers have asked the Supreme Court of the Bahamas to stop the
island’s country’s government from consenting to
the
post-extradition charges.

Bankman-Fried Moves against US Charges

According to the wire agency, Bankman-Fried’s lawyers disclosed the move in
documents filed before a federal court in Manhattan, United States, on Monday
evening. The lawyers are arguing that the extra charges contravene the terms of
extradition agreement between Bahamas and the United
States. The extradition
treaty between both countries requires the country releasing a defendant to give its consent before additional charges can be initiated after the extradition.

Bankman-Fried was arrested in the Bahamas in late 2022 over the collapse of FTX after criminal
charges were filed against him in the United States. He was later extradited to
the US where he was initially charged with
eight counts, including conspiracy to
commit wire and securities fraud, money laundering and conspiracy to avoid
campaign finance regulations.

However, prosecutors have
since expanded the charges to 13, including conspiracy to commit bank fraud and
violate the anti-bribery provisions of the United States by bribing Chinese officials
in late 2021. However, Bankman-Fried
lawyers in the new court filings said they intend to contest the extra charges
in Bahamas court should the island country’s government consent to the charges,
Wall Street Journal (WSJ) reported.

The lawyers also asked US
District Judge Lewis Kaplan to throw out the changes or try them separately
from the FTX founder’s trial scheduled for October 2, 2023.

“Mr. Bankman-Fried will
suffer if required to prepare for a trial that is less than four months away
without knowing whether he will be tried on nearly half of the counts,” the
lawyers said in the filing, as quoted by WSJ.

In May, the US Justice
Department said it would drop some of the charges against Bankman-Fried if the
Bahamas does not consent to them. However, the prosecutors last month slammed pre-trial motions filed by Bankman-Fried’s lawyers to dismiss a number of the
13 charges against him.

FTX crumbled in November last year after a liquidation crisis, costing billions of dollars in losses to investors.

BidFX hires eFX expert; Orbex’s prepaid card; read today’s news nuggets.

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