Media reports Bankman-Fried prepared to plead guilty to fraud

Sam Bankman-Fried pleads guilty to charges of defrauding investors and misappropriating customer funds in connection with the collapse of the cryptocurrency exchange FTX. Reuters reports this.

A hearing in the U.S. District Court in Manhattan is set for January 3, 2023. The case will be before Judge Lewis Kaplan.

The latest appointment followed recusal of the previous judge due to a potential conflict of interest. The law firm Davis Polk & Wardwell, in which Ronnie Abrams’s husband is a partner, previously advised FTX.

Prosecutors brought eight counts against Bankman-Fried, including fraud, money laundering and campaign-finance violations.

Two of his former associates — former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang — pleaded guilty to involvement in the collapse of the exchange and agreed to cooperate with investigators.

On December 12, Bahamian authorities arrested Bankman-Fried at the request of the U.S. government. The entrepreneur agreed to extradition.

On December 22, the court in the Southern District of New York set bail at $250 million. Bankman-Fried’s parents were guarantors.

SEC and CFTC have also filed civil lawsuits against the founder.

Follow ForkLog’s bitcoin news on our Telegram — cryptocurrency news, prices and analysis.