Sam Bankman-Fried found guilty on all 7 criminal fraud counts, faces 115 years in prison

Sam Bankman-Fried has been found guilty of all seven criminal counts brought against him, potentially facing a maximum sentence of 115 years in prison. The charges include wire fraud and conspiracy to commit wire fraud against FTX customers and Alameda Research lenders, as well as conspiracy to commit securities fraud, commodities fraud, and money laundering.

Despite pleading not guilty to the charges, Bankman-Fried was accused of orchestrating a significant financial fraud that led to the collapse of FTX and sister hedge fund Alameda. The case, which involved a trial beginning in early October, witnessed conflicting testimonies from the defendant's former associates and his own assertions.

According to cnbc.com, Following the verdict, U.S. Attorney Damian Williams described the case as one of the most significant financial frauds in American history.

“Sam Bankman-Fried perpetrated one of the biggest financial frauds in American history,” he said in a briefing after the verdicts were read. “While the cryptocurrency industry might be new and the players like Sam Bankman-Fried might be new, this kind of corruption is as old as time. This case has always been about lying, cheating, and stealing, and we have no patience for it.”

Attorney General Merrick Garland echoed this sentiment, highlighting that Bankman-Fried's attempts to evade legal consequences were unsuccessful.

During the trial, the jury quickly arrived at a verdict after a relatively short deliberation, delivering their decision in the evening. Bankman-Fried maintained composure as the verdict was announced, and his parents showed visible concern throughout the proceedings.

Although Bankman-Fried's attorney, Mark Cohen, asserted his client's continued innocence and determination to challenge the charges, the prosecution's case largely revolved around testimonies from key witnesses and substantial evidence that suggested the misappropriation of customer funds from FTX.

The defense focused on Bankman-Fried's own testimony, where he denied any fraudulent activities and attributed any financial discrepancies to business mistakes.

Judge Lewis Kaplan announced that Bankman-Fried's sentencing would take place on March 28, with a second trial scheduled for March 11.