- US prosecutors asked a federal judge to deny Sam Bankman-Fried’s request for a new trial.
- The government argues his motion does not present valid new evidence.
- Bankman-Fried is currently serving a 25-year sentence for fraud tied to the collapse of FTX.
Prosecutors Oppose New Trial Request
US prosecutors have urged a federal judge to reject a request for a new trial from former FTX CEO Sam Bankman-Fried, arguing that his legal team has not demonstrated a valid basis to overturn his conviction.
In a recent court filing, prosecutors stated that Bankman-Fried’s motion fails to show that his original trial was unfair or that newly presented evidence would significantly change the outcome of the case. According to the report, the arguments presented do not meet the legal standard required for granting a retrial.
Bankman-Fried was convicted in 2023 on multiple counts of fraud and conspiracy related to the collapse of the cryptocurrency exchange FTX. The high-profile case concluded with the former executive receiving a 25-year prison sentence.
Defense Claims New Testimony Could Change Narrative
In February, Bankman-Fried filed a motion requesting a new trial under Rule 33 of the Federal Rules of Criminal Procedure. This rule allows courts to order a new trial if it is deemed necessary “in the interest of justice.”
The motion argued that newly available testimony from former FTX executives could challenge the prosecution’s narrative about the financial condition of the exchange before its collapse.
According to the filing, additional witnesses might dispute the government’s claim that customer funds were misused and that FTX faced a multibillion-dollar deficit. Bankman-Fried’s legal team also suggested that certain testimony presented during the original trial was misleading.
The defense further argued that the exchange may have been experiencing a temporary liquidity crisis rather than outright insolvency.
Government Says Evidence Would Not Change Outcome
Prosecutors strongly rejected those claims in their response to the court. They argued that the proposed witnesses either do not qualify as new evidence or would not materially affect the verdict reached during the trial.
The government emphasized that the original proceedings included extensive documentation and testimony showing that billions of dollars in customer funds were misappropriated.
As a result, prosecutors concluded that reopening the case is unwarranted and urged the judge to deny the retrial request.
Continued Legal Fallout From FTX Collapse
The dispute represents another chapter in the ongoing legal aftermath of the collapse of FTX in 2022. The exchange’s failure triggered one of the largest scandals in the history of the cryptocurrency industry and led to multiple criminal investigations and prosecutions. The court has not yet issued a ruling on whether Bankman-Fried’s request for a new trial will be granted.
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