Home NewsAfrica Sam Bankman-Fried expected to reverse decision to contest extradition to US | Business

Sam Bankman-Fried expected to reverse decision to contest extradition to US | Business

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Former FTX CEO Sam Bankman-Fried is anticipated to seem in court docket within the Bahamas on Monday to reverse his resolution to contest extradition to the USA, the place he faces fraud fees, an individual acquainted with the matter mentioned on Saturday.

The cryptocurrency mogul was indicted in federal court docket in Manhattan on December 13 and accused of participating in a scheme to defraud FTX customers.

His resolution to consent to extradition would pave the way in which for him to seem in US court docket to face fees of utilizing stolen buyer deposits to pay for bills and money owed and to make investments on behalf of his crypto hedge fund, Alameda Analysis LLC.

Nonetheless, any trial is probably going greater than a yr away, authorized consultants instructed Reuters.

Bankman-Fried, 30, was arrested on December 12 in the Bahamas, the place he lives and the place FTX relies. He was remanded on Tuesday to the Caribbean nation’s Fox Hill jail after Chief Justice of the Peace JoyAnn Ferguson-Pratt rejected his request to stay at residence whereas awaiting a listening to on his extradition to the USA.

Neither a spokesman nor a US-based lawyer for Bankman-Fried instantly responded to requests for remark. A spokesman for the US Legal professional’s workplace in Manhattan declined to remark.

Bankman-Fried had made a brand new bail software earlier than the Bahamas Supreme Courtroom on Thursday, an individual acquainted with the matter instructed Reuters on the time.

Bankman-Fried amassed a fortune valued at over $20 billion as he rode a cryptocurrency growth to construct FTX into one of many world’s largest exchanges earlier than it abruptly collapsed this yr.

Damian Williams, the highest federal prosecutor in Manhattan, described the collapse of FTX as one of many “greatest monetary frauds in American historical past.” Bankman-Fried has acknowledged threat administration failures at FTX however has mentioned he didn’t consider he had any felony legal responsibility.

It was not instantly clear what prompted Bankman-Fried to alter his thoughts and determine to not contest extradition.

The US State Division in a 2021 report mentioned situations at Fox Hill had been “harsh,” citing overcrowding, rodent infestation and prisoners counting on buckets as bathrooms. Authorities there say situations have since improved.

Bankman-Fried faces as much as 115 years in jail if in the end convicted of all eight counts he faces in the USA, although any sentence would in the end be decided by a choose based mostly on a spread of things.

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