Judge Denies Sam Bankman-Fried's Motion for a New Trial Calling the Claims Baseless

[kevin1]

A Manhattan federal judge has rejected Sam Bankman-Fried's motion for a new trial, delivering another legal setback to the imprisoned FTX co-founder. Judge Lewis Kaplan, who oversaw the original 2023 trial and sentenced Bankman-Fried to 25 years in prison in early 2024, wrote in his order that the motion appeared to be part of a reputation rescue plan that Bankman-Fried had devised and committed to writing after FTX declared bankruptcy but before he was even indicted. The unusual circumstances surrounding the motion added to its dismissal, as Bankman-Fried filed it without consulting his lawyers and while an appeals court was simultaneously considering his conviction and sentence.Bankman-Fried had argued that three former FTX executives could provide testimony countering the government's claims that FTX was insolvent.

Judge Kaplan dismissed each argument on multiple independent grounds, writing that none of the proposed witnesses were newly discovered since Bankman-Fried knew all three before trial and purportedly knew what he hoped they would say. When Bankman-Fried subsequently tried to withdraw the motion, telling Judge Kaplan he did not believe he would receive a fair hearing, Kaplan denied that request as well. Bankman-Fried is currently being held at a federal prison in Lompoc, California, with his conviction on seven criminal charges related to fraud and money laundering still standing.

[ed]

Filing a new trial motion without consulting lawyers while an appeals court is simultaneously reviewing the conviction is either a sophisticated play or a desperate one — Judge Kaplan's "reputation rescue plan" characterization suggests the court read it as the latter.

[tradelikepro]

pre-indictment reputation rescue plan committed to writing. the notes outlasted the reputation and then became evidence against the plan.