FTX founder Sam Bankman-Fried (SBF) will be released on $250 million bail, pending trial on eight criminal charges related to the collapsed crypto empire.
According to CNBC, Judge Gabriel Gorenstein said on December 22 that he would order “strict” supervision of SBF after he was returned to live with his parents in California, USA. The bond’s value is secured by the equity of the SBF family home, signed by parents and two other individuals with “substantial” assets.
In addition to the $250 million package, which prosecutors called the “biggest pre-trial bail ever,” the former crypto billionaire was also required to wear an electronic tracking bracelet, file mental health counseling and travel restrictions in and between the northern county of California and the southern and eastern counties of New York. SBF is also barred from opening any new lines of credit worth more than $1,000 pending trial over what federal regulators called “brazen” fraud that took place at the cryptocurrency exchange. FTX death.
SBF was extradited from the Bahamas to Westchester County in New York (USA) on the evening of December 21, after days of chaotic trials in courts in the Bahamas. Terms regarding SBF bail were agreed by prosecutors and his attorney. The former FTX CEO will face the next hearing, presided over by Judge Ronnie Abrams, in New York on January 3, where criminal charges related to fraud, money laundering, and fraud will be heard. financial regulation violations.
SBF is accused of carrying out a multibillion-dollar scam against investors, using client funds to purchase properties, finance political donations and support transactions at the room fund. Alameda Research private household. It is known that two top SBF deputies, Caroline Ellison and Gary Wang, on December 21 pleaded guilty to fraud charges and are cooperating with law enforcement.
The value of the SBF bail assets dwarfs that of other federal white-collar cases. Bernie Madoff has put out a $10 million bond pending trial on his multi-billion dollar Ponzi scheme. This amount in the case of Jeff Skilling, the former CEO of energy company Enron, is $5 million. Elizabeth Holmes, founder of medical technology group Theranos, also offered a meager $500,000.