Former FTX Chief Executive Sam Bankman-Fried, who faces fraud prices over the collapse of the bankrupt cryptocurrency trade, walks outdoors the Manhattan federal court docket in New York City, U.S. March 30, 2023.
Amanda Perobelli | Reuters
FTX founder Sam Bankman-Fried will take the stand to testify in his personal protection, his legal professional mentioned in a convention name Wednesday. The determination by his authorized group units him up for a cross-examination by federal prosecutors, who will be capable of press him on the collapse of his crypto trade FTX.
Bankman-Fried’s determination to testify got here after federal prosecutors and his protection group have been capable of safe the alleged fraudster an ample provide of his ADHD remedy. His protection had beforehand argued earlier than the court docket that insufficient entry to the remedy impugned his potential to take part in his protection.
The FTX co-founder’s authorized group will start its protection instantly after the federal government finishes its case, which is predicted to happen Thursday morning. Prosecutors have one remaining witness to name, a Federal Bureau of Investigation agent who will function a abstract witness.
The protection can even name three different witnesses moreover Bankman-Fried to the stand, protection legal professional Mark Cohen mentioned on the decision.
His legal professionals had opposed the federal government’s request to start their protection instantly after the federal government rested its case in a submitting Tuesday evening.
It is extensively thought-about to be a dangerous maneuver. While his protection group will be capable of query him, and the previous billionaire would be capable of present his personal narrative as to the collapse, it additionally opens up Bankman-Fried to a cross-examination by federal prosecutors. So far, the prosecution has referred to as up a number of of Bankman-Fried’s high executives to testify, together with Nishad Singh and Caroline Ellison, his one-time romantic associate and former CEO of Alameda Research.
Bankman-Fried stands accused of fraud and cash laundering of his function within the collapse of the multi-billion greenback crypto trade FTX. Since the corporate filed for chapter, Bankman-Fried has been accused of systematically pilfering billions in buyer belongings from the exchanges reserves, so as to fund political contributions, actual property acquisitions and excessive profile sponsorship offers.
The authorities has additionally introduced intensive proof to help its claims, together with Signal chats and inner paperwork, which prosecutors allege present how Bankman-Fried orchestrated the spending of buyer funds.
CNBC’s Dawn Giel contributed to this report.
This is breaking news. Please examine again for updates.