Prosecutors rest their case as Sam Bankman-Fried prepares to testify


Attorneys representing the United States Justice Department rested their case in opposition to Sam “SBF” Bankman-Fried after greater than three weeks of knowledgeable witnesses and testimonies from former FTX and Alameda workers. 

According to stories from the courtroom on Oct. 26, the U.S. authorities’s final witness earlier than resting was FBI Agent Mark Troiano, who primarily testified on SBF’s involvement in additional than 300 teams with the messaging app Signal. Following Toiano’s testimony, Bankman-Fried’s attorneys motioned to dismiss, which was shortly denied by Judge Lewis Kaplan.

SBF’s attorneys, Mark Cohen and Christian Everdell, offered two witnesses earlier than Bankman-Fried. Krystal Rolle, a Bahamas-based legal professional beforehand representing the previous FTX CEO, testified she accompanied SBF to a meeting with the Securities Commission of the Bahamas in November 2022 and witnessed him transferring FTX belongings to authorities.

Joseph Pimbley from litigation consulting agency PF2 Securities, the protection’s second witness, testified he had been paid greater than $50,000 to extract information from Amazon Web Services on Alameda Research’s line of credit score with FTX and information on roughly 9 million to 11 million customers of the crypto trade. Attorneys with the Justice Department questioned Pimbley on whether or not he had any data of how FTX funds have been used or the “allow negative” button — the characteristic giving Alameda the flexibility to commerce extra funds that the agency had accessible.

Based on reporting from the courtroom, Judge Kaplan usually pushed again on questions posed by Everdell or Cohen to witnesses, saying, “This is not helpful” and “Can we get to the point?” At the time of publication, Bankman-Fried had not but testified, however his attorneys mentioned they expected him to be on the stand for roughly 4 hours.

Related: Sam Bankman-Fried has no way to ‘outfox’ prosecutors: Scaramucci

Defense attorneys advised Kaplan in an Oct. 25 convention name that they deliberate to have Bankman-Fried testify as a part of their case defending the previous FTX CEO. Prosecutors beforehand known as former Alameda CEO Caroline Ellison, former FTX chief know-how officer Gary Wang and former FTX engineering director Nishad Singh to testify on SBF directing efforts to have Alameda use FTX funds.

Bankman-Fried’s trial is expected to end inside a number of enterprise days amid closing arguments and the choose contemplating any motions submitted by prosecutors or protection attorneys. However, the previous FTX CEO is scheduled to face 5 extra legal counts in a second trial anticipated to start in March 2024. He has pleaded not responsible to all fees in each instances.

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Update (Oct. 26 at 4:50 PM UTC): This article has been up to date to embrace data on the U.S. authorities’s cross-examination of Joseph Pimbley.