📰 Table Of Contents
FTX CEO Criticizes Attempt to Reduce Sentence for Fraud
John Ray III, the CEO and restructuring officer of FTX, has criticized an attempt made by Sam Bankman-Fried’s lawyers to reduce his sentence, emphasizing that the victims of the fraud “have suffered and continue to suffer.”
Ray’s Victim Impact Statement
On Wednesday, Ray penned a victim impact statement, addressing Judge Lewis Kaplan on behalf of FTX and its “millions of creditor victims.” The purpose was to rectify the “material misstatements and omissions” made in Bankman-Fried’s sentencing submission.
FTX Solvency and Recovery Efforts
In the letter, Ray vehemently countered Bankman-Fried’s claims that FTX remained solvent during bankruptcy proceedings and that no money had been lost, labeling them as “categorically, callously, and demonstrably false.” Ray stressed that the victims of Bankman-Fried’s actions would never be able to regain the economic position they would have been in had they not encountered his colossal fraud.
- Ray highlighted the extensive efforts made by his team since assuming the role of CEO in November 2022.
- He acknowledged the recovery process could never erase the immense harm caused by Bankman-Fried’s crimes.
Bankman-Fried’s Sentencing
Bankman-Fried’s lawyers argued that the proposed 40-to-50-year sentence for a “non-violent offense” was excessively harsh and urged a reduction to approximately five to six and a half years. Bankman-Fried was found guilty of seven charges related to fraud and money laundering, following the collapse of the cryptocurrency exchange nearly a year ago.
Bankman-Fried’s sentencing is set for March 28, 2024.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
