The legal saga surrounding Sam Bankman-Fried, the founder of crypto exchange FTX, has taken a dramatic turn as his defense attorney, Mark Mukasey, appeals for a maximum prison sentence of only 6.5 years. This plea comes in the face of Bankman-Fried facing a maximum sentence of 110 years in prison for his convictions on charges of fraud and conspiracy.
Mukasey argues that nearly all funds belonging to FTX's customers will be refunded, thus advocating for leniency in the sentencing. He urges Judge Lewis Kaplan, who presides over Bankman-Fried's case, to consider the restitution efforts and impose a lighter sentence.
Bankman-Fried was found guilty by a jury in November last year in what prosecutors described as one of the largest financial fraud cases in U.S. history. However, despite the conviction, Bankman-Fried maintains his innocence and plans to appeal the verdict. He acknowledges errors in his leadership of FTX but vehemently denies any intention to misappropriate customer funds.
Judge Kaplan is scheduled to deliver Bankman-Fried's sentence on March 28th.
The plea for leniency from Bankman-Fried's legal team is accompanied by letters of support from his parents, a psychiatrist, and other individuals. Joseph Bankman and Barbara Fried, Bankman-Fried's parents, attest to their son's unwavering dedication to safeguarding FTX's customers' assets, even amidst the challenges that led to FTX's bankruptcy.
"Barbara and I have witnessed his commitment to returning users' funds, long after it became impossible for him to salvage his own assets," stated Bankman.
Mukasey condemns the prospect of a 100-year prison sentence as "barbaric," arguing that it is based on flawed assumptions regarding the losses incurred by FTX users. He points out that FTX, in its bankruptcy proceedings, has pledged to fully refund all customer funds.
"The sentencing does not consider whether Sam intends to return all the money. He [has managed to] do so," Mukasey asserted.
As the legal battle unfolds, the fate of Sam Bankman-Fried hangs in the balance, with his defense team's plea for leniency and the prospect of an appeal shaping the final outcome of this high-profile case.