Key Points
- The FTX founder has retracted his Rule 33 motion requesting a new trial
- Bankman-Fried expressed concerns about receiving impartial treatment from Judge Lewis Kaplan
- The motion was self-authored during his incarceration, with input limited to his parents
- His federal appeal challenging both conviction and sentencing continues in appellate court
- A presidential pardon request directed to Trump remains pending; the former president indicated in January he would decline such clemency
The former chief executive of FTX, Sam Bankman-Fried, has retracted his request for a new trial. He submitted a formal letter on Wednesday to the US District Court for the Southern District of New York.
Bankman-Fried’s letter stated his belief that Judge Lewis Kaplan would be unable to provide impartial consideration of his request. The withdrawal was filed without prejudice, preserving his option to resubmit at a future date.
This development followed judicial inquiry from Judge Kaplan regarding legal representation in drafting the submission. The filing in question was made under Rule 33, a procedural mechanism allowing defendants to seek new trials.
According to Bankman-Fried’s account, he personally conceived, authored, and conducted the majority of legal research for the motion while detained at a Brooklyn facility. He confirmed he proceeded without consulting his legal counsel.
He acknowledged sharing preliminary versions with his parents, Barbara and Joseph Bankman-Fried. His mother had previously submitted correspondence to the court on his behalf, despite lacking formal legal authority.
“They made editorial and organizational suggestions, some of which I incorporated into the motion,” Bankman-Fried explained. His parents additionally assisted with printing the document, as he had lost access to word processing equipment.
During February, Bankman-Fried had requested judicial reassignment for consideration of his new trial motion. He asserted that Kaplan demonstrated “extreme prejudice” throughout his legal proceedings.
Details of Conviction and Sentencing
A jury delivered guilty verdicts in November 2023 across all seven fraud charges against Bankman-Fried. The criminal counts stemmed from improper handling of client assets at FTX, previously among the world’s most prominent cryptocurrency platforms.
Federal prosecutors characterized the case as “likely the largest fraud in the last decade,” making parallels to the Bernie Madoff scandal. His trading firm, Alameda Research, played a pivotal role in the purported fraudulent activity.
The court imposed a 25-year prison term, and he currently serves his sentence at the Federal Correctional Institution, Lompoc I, located in California.
Ongoing Appeal and Clemency Attempts
Bankman-Fried maintains an active challenge to both his guilty verdict and prison sentence in the US Court of Appeals for the Second Circuit. His retraction of the Rule 33 motion leaves this appellate process unaffected.
He has made public overtures seeking presidential clemency from Donald Trump. Through social media channels, he expressed support for Trump’s cryptocurrency initiatives and foreign policy decisions.
Trump, however, told the New York Times during a January conversation that he would decline to grant a pardon to Bankman-Fried.
The motion seeking a different judge for the reassignment matter also awaits resolution. Bankman-Fried indicated on Wednesday that he plans to await the outcome of his direct appeal before contemplating whether to refile his new trial request.
