There was a surprising development in FTX’s ongoing lawsuit. Sam Bankman-Fried’s lawyers sought access to FTX’s assets and cryptocurrencies for their clients. The lawyers argued that there was no evidence that Bankman-Fried was involved in a suspected illegal event, so he should have had access to the relevant assets. This request has not yet been responded to.
Access to cryptocurrencies was banned along with the bail decision
Bankman-Fried stepped down as CEO of FTX on November 11, 2022, and was released on bail after pleading guilty to fraud and money laundering charges. Bankman-Fried, who remains on trial but will spend this time at his family’s home, included a ban on access to all cryptocurrencies held by FTX and Alameda. This ban also covered cryptocurrencies purchased with funds from FTX or Alameda.
Request “Ban access to encrypted messaging apps”
On the other hand, US prosecutors claimed that Bankman-Fried communicated with people who could be witnesses before the trial. Prosecutors wanted Bankman-Fried to be barred from communicating with his former teammates at FTX and using encrypted messaging apps. In the letter sent to the court on Friday, it was claimed that Bankman-Fried was in direct contact with the exchange’s general counsel through the Signal app. It is stated that this name is Ryne Miller, attorney of Sullivan & Cromwell law firm. Bankman-Fried previously claimed that Miller and Sullivan & Cromwell forced him to file for bankruptcy.
It was learned that Bankman-Fried contacted Miller on January 15, and in the message he sent, he wrote to Miller that he wanted to have a constructive relationship.
As a result, judge Lewis Kaplan was asked to change Bankman-Fried’s bail conditions to prohibit him from using platforms, including Signal, where encrypted or messages were soon automatically deleted.
