FTX founder Sam Bankman-Fried will take the stand to testify in his personal protection, his legal professional stated in a convention name Wednesday. The choice by his authorized group units him up for a cross-examination by federal prosecutors, who will be capable to 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 in a position to safe the alleged fraudster an sufficient provide of his ADHD medicine. His protection had beforehand argued earlier than the court docket that insufficient entry to the medicine 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, an FBI agent who will function a abstract witness.
The protection can even name three different witnesses in addition to Bankman-Fried to the stand, protection legal professional Mark Cohen stated 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 night time.
It’s broadly thought of to be a dangerous maneuver. Whereas his protection group will be capable to query him and the previous billionaire would be capable to present his personal narrative on the collapse, it additionally opens up Bankman-Fried to a cross-examination by federal prosecutors. To date, the prosecution has known as up a number of of Bankman-Fried’s high executives to testify, together with Nishad Singh and Caroline Ellison, his one-time romantic companion and former CEO of Alameda Analysis.
Bankman-Fried stands accused of fraud and cash laundering in his function within the collapse of the multibillion-dollar crypto trade FTX. For the reason that firm filed for chapter, Bankman-Fried has been accused of systematically pilfering billions in buyer belongings from the trade’s reserves to fund political contributions, actual property acquisitions and high-profile sponsorship offers.
The federal government has additionally introduced intensive proof to assist its claims, together with Sign chats and inner paperwork, which prosecutors allege present how Bankman-Fried orchestrated the spending of buyer funds.
— CNBC’s Daybreak Giel contributed to this report.
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