Sam Bankman-Fried to Plead Not Guilty?

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  • Sam Bankman-Fried is expected to plead not guilty to a litany of financial crimes tomorrow
  • The Wall Street Journal says that Bankman-Fried will say he did not knowingly do anything wrong in running FTX
  • He faces decades behind bars if he loses at trial

Disgraced FTX co-founder Sam Bankman-Fried is expected to plead not guilty to a litany of financial crimes when he is arraigned this week, according to The Wall Street Journal. The Journal cites “people familiar with the matter” as saying that Bankman-Fried will deny he was responsible for a multi billion-dollar fraud perpetrated on the customers of FTX, a gamble that would see him serve much longer in jail if he loses. Bankman-Fried is represented by New York defense attorney Mark Cohen, who recently represented Ghislaine Maxwell, who clearly thinks he can get Bankman-Fried off the charges.

Bankman-Fried Faces Decades Behind Bars

Bankman-Fried has been charged by the U.S. attorney’s office for the Southern District of New York of being instrumental in causing the downfall of FTX by criminal means, alleging that he oversaw one of the biggest financial frauds in American history. He has been charged with several crimes, including wire fraud, wire fraud conspiracy, securities fraud, securities fraud conspiracy, and money laundering.

If found guilty on all fronts he could well spend the rest of his life in jail, especially if he pleads not guilty and is found guilty in a jury trial.

Witnesses Could be SBF’s Undoing

Bankman-Fried is likely to appear in person in New York tomorrow to enter his plea, where the Journal’s sources say he will deny that he intentionally did anything wrong. This is despite the claims of current CEO John Ray III that illegal activity clearly went on within FTX in which Bankman-Fried had to have been heavily involved.

Bankman-Fried could also be damaged by a number of whistleblowers and cooperative witnesses, including Alameda Research CEO Caroline Ellison, FTX co-founder Gary Wang, and whistleblower Ryan Salame.