A U.S. District Judge may postpone the fraud trial of Sam Bankman-Fried, the founder of collapsed cryptocurrency exchange FTX.
Bankman-Fried’s lawyers argue they have not had enough time to review the evidence crucial for building his defence.
U.S. District Judge Lewis Kaplan, presiding over the case in Manhattan, suggested a potential five-month delay to the hearing initially slated for October 3 during a virtual hearing.
Bankman-Fried’s defence lawyers contended that the Metropolitan Detention Center in Brooklyn had failed to provide their client with the necessary hard drives containing evidence for thorough review.
At 31 years old, Bankman-Fried has entered a not guilty plea against charges of fraud and conspiracy linked to the collapse of his cryptocurrency exchange in November 2022, leading to its subsequent bankruptcy.
Judge Kaplan ordered Bankman-Fried’s incarceration on August 11, citing concerns that the former billionaire had tampered with witnesses while on $250 million bail, confined to his parents’ residence in Palo Alto, California.
His legal team sought his return to his parents’ custody, arguing that it would allow him to adequately prepare for the upcoming trial.
Judge Kaplan, while open to considering a delay, emphasised that the volume of evidence alone might not warrant postponement.
He emphasised the necessity for the defence to demonstrate a genuine and unforeseen need for the delay.
He also proposed the potential consolidation of Bankman-Fried’s trial with a previously scheduled trial on March 11, 2024, pertaining to additional charges stemming from his extradition from the Bahamas in December 2022.
Mark Cohen, Bankman-Fried’s lawyer, acknowledged the need for a swift decision regarding any delay request.
Judge Kaplan had previously denied a defence plea to exclude around 4 million pages of documents stored on Google, which were turned over by prosecutors last week.
Bankman-Fried’s legal team argued that the avalanche of evidence hindered his constitutional right to a fair trial.
The prosecution, led by the U.S. Attorney’s Office in Manhattan, attributed the delayed submission of evidence to Google’s slow response to a subpoena.
They clarified that the majority of the evidence was sourced from Bankman-Fried’s personal Google account, which he had access to before his bail was revoked.
In a recent development, the prosecution delivered a hard drive containing evidence to Bankman-Fried’s location at the Metropolitan Detention Center. As deliberations continue, the fate of the trial hangs in the balance, awaiting a decision that will address both the concerns of the defence and the need for a fair legal process.
