Judge Rejects Sam Bankman-Fried’s Bid for New Trial in FTX Fraud Case

U.S. District Judge Lewis Kaplan has denied a motion for a new trial filed by Sam Bankman-Fried, the co-founder and former CEO of the collapsed cryptocurrency exchange FTX. In a scathing order, Judge Kaplan characterized the request as part of a strategic plan to "rescue his reputation" rather than a legitimate legal challenge based on newly discovered evidence. Bankman-Fried was convicted on seven counts of fraud and money laundering in 2023, after a jury determined he misappropriated billions of dollars in customer funds to support risky trades at Alameda Research. He was subsequently sentenced to 25 years in prison in early 2024. The motion for a new trial centered on claims that former FTX executives, including Ryan Salame and Daniel Chapsky, could provide testimony contradicting the government's assertions regarding the exchange's insolvency. Bankman-Fried further alleged that Nishad Singh, a former engineering lead who testified against him, had altered his testimony due to government pressure. Judge Kaplan dismissed these claims as "wildly conspiratorial," noting that the witnesses were not "newly discovered" and that Bankman-Fried had failed to compel their testimony during the original trial. The judge also denied a subsequent request by Bankman-Fried to withdraw the motion after the defendant claimed he would not receive a fair hearing. The ruling maintains the current legal standing of the FTX collapse's primary architect. Bankman-Fried continues to be held at a federal prison in Lompoc, California, while his appeals process continues.