During Tuesday’s hearing, Bankman-Fried entered a plea of not guilty to the fraud charges brought against him. Additionally, his attorneys requested that the court grant him access to an internet-enabled laptop in order to facilitate his review of relevant documents.
Sam Bankman-Fried, the former CEO and founder of FTX, has repeatedly pleaded not guilty to charges of money laundering and fraud. During a recent court appearance on Tuesday, prosecutors presented new allegations, claiming that the 31-year-old executive had misappropriated customer funds to finance his lavish lifestyle and make significant political donations in the United States.
The charges presented in Tuesday’s court proceedings, which were overseen by Magistrate Judge Sarah, were already included in the original indictment from December 2022. The December indictment also accused Bankman-Fried of violating US campaign finance laws; however, prosecutors subsequently withdrew this charge due to the extradition treaty between the US and the Bahamas.
Former crypto billionaire Sam Bankman-Fried appeared in court for the first time since his bail was revoked on August 11. Before joining his attorneys, Bankman-Fried took a moment to interact with his mother, Barbara Fried, who was present in the courtroom to observe the proceedings.
Bankman-Fried’s attorneys request better living conditions for him
Sam Bankman-Fried’s recent court appearance comes as his legal team has requested that he be allowed to prepare for his October trial outside of jail and have access to a laptop with internet services. Christian Everdell, one of Bankman-Fried’s attorneys, argued during Tuesday’s hearing that his client’s Sixth Amendment rights were being violated by the court’s refusal to grant him access to meet with his attorneys.
During the hearing, Everdell emphasized that Bankman-Fried requires an internet-enabled laptop to adequately review case-related documents. He stressed that without such access, it would be impossible for Bankman-Fried to effectively share his work product and analyses with his legal team.
Mark Cohen, another member of Bankman-Fried’s legal team, focused his arguments on the conditions at the Metropolitan Detention Center in Brooklyn, where the former FTX CEO has been held since August 11. Cohen claimed that Bankman-Fried has been forced to subsist on a diet of bread and water due to the lack of vegan options available at the prison.
Mark Cohen, a member of Bankman-Fried’s defense team, raised additional concerns about his client’s well-being. Specifically, Cohen highlighted Bankman-Fried’s struggles with anxiety and the prison’s failure to provide him with Adderall, a medication commonly used to treat attention-deficit/hyperactivity disorder. Furthermore, the defense team claimed that Bankman-Fried was running low on his antidepressant, EMSAM.
In their arguments, the attorneys emphasized that Bankman-Fried’s limited access to legal counsel and poor living conditions in prison render it impossible for him to adequately prepare for his upcoming trial in October. In response, Netburn indicated that she would submit a request to the Bureau of Prisons, which oversees the facility, and the U.S. Justice Department, seeking to address the issues related to Bankman-Fried’s medication.
Just hours before the court proceedings, Judge Lewis Kaplan granted Bankman-Fried temporary permission to meet with his attorneys for seven hours outside of jail. In a filing with the United States District Court for the Southern District of New York on August 21, Kaplan allowed Bankman-Fried to use an internet-enabled laptop and WiFi device during these meetings. Additionally, Kaplan ordered the prison service to provide Bankman-Fried with the necessary medications.
Judge Kaplan revoked Bankman-Fried’s bail after he disclosed the personal writings of Caroline Ellison, his former lover and colleague, to a New York Times reporter. Ellison has offered to testify against Bankman-Fried in court.
