The founder of FTX, Sam Bankman-Fried, has reportedly reached a new bail agreement with United States prosecutors following concerns raised by the judge overseeing his case about the possibility of him being sent to jail while awaiting trial, according to a report.
The proposed new bail conditions would allow Bankman-Fried to remain at his parents’ home in Palo Alto, California, but would restrict his use of certain electronic devices and apps.
Under the new conditions, he would be provided with a new phone and laptop with limited functionality and monitoring software to prevent tampering. Bankman-Fried would be prohibited from using other electronic communication devices and messaging applications.
In addition, Bankman-Fried’s parents have agreed to restrict his access to their devices and have signed affidavits promising not to bring prohibited electronic devices into the home. If there is any reasonable suspicion of a violation, Bankman-Fried must submit his devices for a search.
The proposed bail agreement is still subject to approval by U.S. District Judge Lewis Kaplan. Bankman-Fried’s lawyers have argued that the new restrictions are unnecessary and that he is not a flight risk or a danger to the community.
SBF Faces New Bribery Charge In FTX Scandal
Bankman-Fried, facing criminal charges of stealing billions of dollars in FTX customer funds and making large illegal political donations, has pleaded not guilty to eight counts and has not yet been arraigned on four more. His trial is set for October 2.
However, in addition to this, according to the latest update, the U.S. government has accused FTX’s Bankman-Fried of paying a $40 million bribe to Chinese officials to regain access to trading accounts linked to Alameda Research, FTX’s sister company had been frozen by Chinese law enforcement.
The bribe, sent in cryptocurrency, was allegedly directed by Bankman-Fried after months of failed attempts to unfreeze the accounts, during which he had hired attorneys to lobby on the company’s behalf and tried to use the personal identifying information of several individuals to circumvent the freeze orders.
The latest bribery charge has been added to the 12 counts already faced by Bankman-Fried, which include securities fraud and conspiracy to commit bank fraud.
The collapse of FTX last year was preceded by a wave of withdrawal demands from customers. A former head of engineering at FTX, Nishad Singh, reached a plea deal with prosecutors last month. He joined former Alameda boss Caroline Ellison and FTX co-founder Gary Wang in agreeing to help the government build its case against Bankman-Fried.
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