A federal judge has reasons to believe that the former Chief Executive Officer (CEO) of FTX has been getting involved in activities that may eventually lead to a recall of his bail package.
Judge Lewis Kaplan alleged that Sam Bankman-Fried is engaged in witness tampering amongst other unapproved activities and if found to be true, the 30-year-old vegan crypto billionaire may be moved from his parent’s home and returned to jail.
In a February 16th hearing, the Judge said there “may very well be probable cause to believe that he has committed or attempted to commit a federal felony while on release, namely witness tampering or attempted witness tampering.” Kaplan emphasized that the February 16th hearing was not a bail revocation hearing but it “could get there, conceivably.”
It is believed that the failed crypto entrepreneur who pleaded not guilty at a United State court has been exploring several options to subtly violate the conditions of his $250 million bail bond. This includes the use of encrypted technology like a virtual private network (VPN) which would help him easily assume any location of his choice.
Therefore, prosecutors have requested that Judge Kaplan restrict SBF’s use of internet-connected gadgets including cell phones and computers. This became the case after it was reported that Bankman-Fried reached out to a former employee of the bankrupt crypto exchange FTX. The said employee is a potential government witness.
“There is now a record before the Court of a defendant who appears motivated to circumvent monitoring and find loopholes in existing bail conditions,” the prosecutors outlined.
Does Bankman-Fried Need Internet-Enabled Devices?
Mark Cohen, SBF’s lawyer called the intended measure “draconian”, citing that the young billionaire needs the internet and some applications like Google Docs to effectively prepare for his hearings.
“My client understands what’s at stake here. He’s literally on trial for his life,” Cohen said. “We need him to work on this defence. We cannot go through these extensive financial records without him.”
Although Judge Kaplan disagrees with Bankman-Fried’s lawyer, he also mentioned that restricting his access to internet-enabled devices is not enough to prevent him from interfering in the case. Kaplan explained that the former FTX CEO’s parents who are professors at Stanford Law School have laptops and phones which he can also use.
Meanwhile, the identity of the other guarantors for Sam Bankman-Fried’s $250 million bail bond has been revealed to be two Stanford Law School employees.
