Lawyers representing Sam Bankman-Fried have filed an appeal asserting that the FTX founder was unfairly rushed to a judgment by the public, who wrongly assumed his guilt in the theft of billions of dollars from customers and investors before his arrest. In documents submitted to the 2nd U.S. Circuit Court of Appeals on Friday, the legal team requested a reversal of his conviction and a retrial with a new judge assigned to the case. They argued that the trial judge handed down a harsh 25-year sentence to the first-time, non-violent offender after allegedly pressuring the jury into a fast one-day verdict at the end of a complex four-week trial.
According to the lawyers, Bankman-Fried was never given the presumption of innocence but was immediately labeled guilty by the media, FTX debtor estate, federal prosecutors, and the trial judge. The defense team claimed that time has shown a different perspective on Bankman-Fried’s actions, revealing assets worth billions to repay customers, while originally, the narrative painted him as a thief who led FTX to insolvency and massive losses.
Bankman-Fried, 32, was found guilty of fraud and conspiracy in November, a year after his companies went bankrupt due to investors withdrawing funds. The collapse revealed that funds had been misused for real estate, investments, endorsements, and extravagant lifestyles, despite FTX being highly regarded in the cryptocurrency industry with endorsements from celebrities like Tom Brady and Larry David.
Following his extradition from the Bahamas in December 2022, Bankman-Fried was arrested just weeks after his company’s bankruptcy filing. Initially under strict bail conditions at his parents’ home in Palo Alto, California, his bail was revoked before the trial by Judge Lewis A. Kaplan, who believed Bankman-Fried was attempting to influence witnesses. He was sentenced in March to 25 years in prison for what was described as a significant financial fraud in U.S. history.
A spokesperson for the prosecutor declined to comment on the matter when approached on Friday.
