Friday, June 14, 2024

SBF’s authorized battle nonetheless has “so much to play out,” in keeping with authorized commentators

by Jeremy

Sam Bankman-Fried, former FTX CEO, faces eight accusations and will get 115 years in jail, however there’s a “lot to play out” till he will get a last sentence over the approaching months and even years, authorized commentators informed Cointelegraph. 

“It’s tough to say at this stage what the doubtless end result can be, however the stakes are very excessive certainly. Sentences in main fraud circumstances can range, with Bernie Madoff receiving a 150 yr sentence in 2009, while within the Enron case a couple of years earlier the sentences handed out to the prime movers have been a lot decrease,” acknowledged Richard Cannon, Associate at Stokoe Partnership Solicitors.

As Bernie Madoff, an American financier who defrauded 1000’s of buyers of tens of billions of {dollars} over a interval of 17 years, SBF used its credibility to cowl FTX’s issues and the movement of cash to Alameda’s Analysis. Madoff’s scheme additionally collapsed in a bear market, and he was convicted and ordered to pay $170 billion to victims in 2009, nevertheless solely $4 billion was paid to victims 13 years later, in keeping with the Madoff Victims Fund.

Associated: Binance ‘put FTX out of enterprise’ — Kevin O’Leary

In Enron’s case, executives of the disgraced vitality firm have been convicted years after the scandal. Kenneth Lay, one of many firm’s founders, died earlier than he was sentenced to 45 years in jail, whereas Jeffrey Skilling, Enron’s former CEO, served 12 years of his 24-year sentence.

As for SBF, accusations embrace conspiracy to commit wire fraud on prospects and lenders, securities fraud, commodities fraud, cash laundering and conspiracy to defraud the US and violate the marketing campaign finance legislation.

“Given the unprecedented sum of money at challenge right here SBF can be taking a look at a excessive guideline vary [for a sentence]. Nevertheless, there are mitigating elements – does he waive extradition, does he cooperate, does he assist find sufferer funds. There’s a nonetheless so much to play out right here over the approaching months and even years,” famous Ari Redbord, the top of Authorized and Authorities Affairs at TRM Labs, a blockchain intelligence firm.

The extradition course of from the Bahamas to the US is the following step on this authorized battle. “The defendant has not waived his proper to problem extradition and a listening to is ready for February. Between from time to time issues can change particularly when a defendant stays detained and should wish to transfer the method alongside. That may very well be SBF waives extradition or he might contest it on the listening to,” commented Redbord.

The previous FTX CEO has reportedly employed Mark Cohen, a former federal prosecutor, to behave as his protection legal professional. As reported by Cointelegraph, Cohen is a co-founder of the legislation agency Cohen & Gresser, and was a member of the protection group within the high-profile case of Ghislaine Maxwell, sentenced to twenty years in jail for youngster intercourse trafficking.