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Sam Bankman-Fried’s Lawyers Want Judge to Gag FTX Witnesses

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Written by
David Thomas

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Edited by
Geraint Price

24 July 2023 10:20 UTC
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  • Sam Bankman-Fried's lawyers request a US judge to restrict witness comments ahead of his October trial.
  • The defense argues that a New York Times article unfairly discredited Bankman-Fried while indulging Caroline Ellison.
  • Bankman-Fried has pleaded not guilty and is living at his parents' home under strict bail conditions.
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Sam Bankman-Fried’s lawyers have asked the judge in his criminal case to restrict comments witnesses can make ahead of the disgraced former CEO’s trial in October.

The request comes after the court issued a gag order against SBF for speaking to a reporter about former Alameda Research CEO Caroline Ellison.

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Bankman-Fried’s Lawyers Accuse Courts of Double-Standards

Through his interview, the courts allege that Bankman-Fried’s comments compromised the jury pool that will sit in on his criminal trial in October.

In response, SBF’s lawyers argue that the article published in the New York Times unfairly discredited Bankman-Fried while indulging Ellison. They claim courts unfairly targeted their client without censoring other negative witness comments.

“Indeed, up until this point, the Government has shown little concern for pretrial publicity regarding its witnesses, belying its now-proffered concern for witnesses potentially being deterred by the specter of publicity.”

Consequently, they want the court to issue a gag order to other witnesses before SBF’s October trial.

The defense also argued that the documents SBF showed the reporter were obtained before discovery. As a result, they did not violate his bail conditions.

They affirm that Bankman-Fried complied with all the rules for visitors, including recording their names on a visitors’ log and screening them for electronic recording devices.

SBF Planned to Run Secret Lab on Remote Island

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Bankman-Fried was the CEO of FTX before it collapsed in November.

FTX ranked fourth in trading volumes before it collapsed
FTX ranked fourth in trading volumes before it collapsed | Source: Statista

US prosecutors initially charged SBF with eight counts of fraud related to money laundering and the misappropriation of customer funds. He has pleaded not guilty to all charges.

Read here about how FTX collapsed like a house of cards in November.

However, Ellison and several other former colleagues have pled guilty and will testify against Bankman-Fried when his case goes to trial later this year.

The MIT alumnus has lived at his parents’ Palo Alto home since being released on a $250 million recognizance bond. His bail conditions include restricted internet access and a virtual private network.

Recent bizarre revelations surrounding his criminal trial include the purchasing of a small island to house a laboratory for genetic experiments.

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