Prosecutors argued in court on Friday that a second trial for FTX founder Sam Bankman-Fried on charges unrelated to the cryptocurrency fraud case was unnecessary. District Judge Lewis A. Kaplan received a letter from the prosecutors, stating that a second trial would only duplicate evidence that had already been presented to the jury during the first trial. They emphasized the importance of a prompt resolution to the case, highlighting that victims would not benefit from forfeiture or restitution orders if the sentencing was delayed. Instead, they suggested that the judge consider the evidence that would have been used in the second trial during Bankman-Fried's sentencing, which is scheduled for March 28.
Bankman-Fried, 31, has been in custody since a few weeks before his trial and was convicted in early November on seven counts, including wire fraud, wire fraud conspiracy, and three conspiracy charges. He could potentially face decades in prison for defrauding customers and investors of at least $10 billion. Last spring, prosecutors withdrew some charges against Bankman-Fried because they had not been approved as part of his extradition from the Bahamas in December 2022. However, they mentioned that these charges could be brought up in a second trial in 2024, while still presenting evidence to the jury about the substance of the charges during the 2023 trial.
The dropped charges included conspiracy to make unlawful campaign contributions, conspiracy to bribe foreign officials, two other conspiracy counts, securities fraud, and commodities fraud. Prosecutors highlighted that evidence regarding all of these charges had already been introduced during Bankman-Fried's month-long trial. They also mentioned that they were still awaiting a response from authorities in the Bahamas regarding the additional charges.
Bankman-Fried's lawyer declined to comment on the matter, and defense lawyers did not immediately respond to requests for comment. Prosecutors assured the court that a conviction on the additional charges would not result in a longer prison sentence for Bankman-Fried. They argued that proceeding with the sentencing in March 2024, without the delay caused by a second trial, would serve the public's interest in a timely and just resolution of the case. They particularly emphasized the importance of avoiding delay, as the judgment would likely include orders of forfeiture and restitution for the victims of Bankman-Fried's crimes.
