FTX founder Sam Bankman-Fried to be extradited to U.S. as soon as Wednesday | 24CA News
Sam Bankman-Fried has consented to be extradited to the United States the place he faces fraud costs, in line with an affidavit his lawyer learn on Wednesday at a court docket listening to in The Bahamas.
It paves the way in which for the founding father of the FTX cryptocurrency alternate to be flown to the United States as early as Wednesday afternoon. Bankman-Fried was dedicated to custody to await the transfer.
Federal prosecutors in Manhattan final week charged the 30-year-old cryptocurrency mogul with stealing billions of {dollars} in FTX buyer belongings to plug losses at his hedge fund, Alameda Research, in what U.S. Attorney Damian Williams referred to as “one of the biggest financial frauds in American history.”
Williams’ workplace stated it is going to maintain a news convention in a while Wednesday.
Arrested final week
Bankman-Fried was arrested on a U.S. extradition request final week in The Bahamas, the place he lives and the place FTX relies. He initially stated he would contest extradition, however Reuters and different shops reported over the weekend that he would reverse that call.
Bankman-Fried determined to comply with extradition partly out of a “desire to make the relevant customers whole,” and recoup as a lot cash as potential for buyers and clients, in line with the affidavit, which is dated Dec. 20.
Dressed in a swimsuit, Bankman-Fried stepped as much as the witness field in court docket, the place he spoke clearly and steadily as he was sworn in.
“Yes, I do wish to waive my right to such formal extradition proceedings,” he informed decide Shaka Serville.
The U.S. authorities has charged Samuel Bankman-Fried, the founding father of now-defunct cryptocurrency alternate FTX, with a number of economic crimes after being arrested within the Bahamas. He faces many years in jail if convicted.
Bankman-Fried’s protection lawyer stated his consumer had eaten, was in good well being and was “anxious to leave.”
The decide stated he was happy that each one authorized necessities for extradition had been met and that Bankman-Fried had not been “forced, coerced or threatened” into making the choice.
“I therefore formally commit you to custody while you await your extradition,” Serville stated.
The listening to was adjourned after the statements.
Officials with the FBI and the United States Marshals Service — which handles transportation of people in U.S. custody — have arrived in capital Nassau, an individual aware of the matter stated on Wednesday morning.
It was not instantly clear when Bankman-Fried would depart the Caribbean nation for New York.
During Wednesday’s listening to, Bankman-Fried’s lawyer requested that the “rule of speciality” be adopted. This rule, which is in The Bahamas’ extradition treaty with the United States, says an individual may be tried solely on the fees for which they’re extradited.
Bankman-Fried’s U.S.-based defence lawyer, Mark Cohen, didn’t instantly reply to a request for touch upon Wednesday.
Proclaims innocence
Bankman-Fried has acknowledged risk-management failures at FTX, however has stated he doesn’t consider he has prison legal responsibility.
Bankman-Fried rode a crypto increase to develop into a billionaire a number of instances over and an influential U.S. political donor, earlier than FTX’s crash worn out his wealth and tarnished his repute. The collapse was pushed by a wave of buyer withdrawals amid issues over commingling of funds with Alameda.
The $32 billion alternate declared chapter on Nov. 11, and Bankman-Fried stepped down as CEO the identical day.
He has since been detained at The Bahamas Department of Corrections in Nassau, often called Fox Hill jail. The U.S. State Department in a 2021 report described situations on the facility as “harsh,” citing overcrowding, rodent infestation and prisoners counting on buckets as bathrooms.
Local authorities say situations have since improved.
