FTX’s Sam Bankman-Fried pleads not guilty to fraud, laundering

Sam Bankman-Fried has pleaded not guilty after facing charges alleging he defrauded customers, Reuters reported.

The FTX founder faced and pleaded not guilty to eight different criminal charges, including money laundering conspiracy, securities fraud, and wire fraud. The charges came amid allegations that Bankman-Fried took FTX users’ personal funds to purchase properties, finance his hedge fund Alameda Research, and hand out millions to political causes.

A trial has been set for October 2, which could last up to four weeks.

Bankman-Fried made his first appearance in court on December 22, 2022, after which he was released on a US$250 million bond and sent to live in California with his parents.

Federal prosecutor Danielle Sassoon also stated that the government has already compiled hundreds of thousands of documents against Bankman-Fried, which are set for release within the next several weeks.

This hearing comes after FTX co-founder Gary Wang and ex-Alameda Research co-CEO Caroline Ellison pleaded guilty to aiding Bankman-Fried in defrauding FTX customers last December. The former executives are cooperating with prosecutors and could potentially testify at the trial.

See also: Singaporeans feel ‘betrayed’ by Temasek-backed FTX