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Sam Bankman-Fried loses bid to appeal against fraud conviction in FTX case

Sam Bankman-Fried loses bid to appeal against fraud conviction in FTX case

Summary

Sam Bankman-Fried lost his appeal against his conviction and 25-year prison sentence for fraud related to the collapse of his FTX cryptocurrency exchange. A federal appeals court upheld the decision after he was found guilty of stealing $8 billion from customers and misleading investors.

Key Facts

  • Sam Bankman-Fried founded the cryptocurrency exchange FTX, which collapsed in 2022.
  • He was convicted on seven felony charges including fraud and conspiracy in 2023.
  • Prosecutors said he stole $8 billion from FTX customers.
  • Bankman-Fried pleaded not guilty but admitted to mistakes in running FTX.
  • His lawyers argued the trial judge stopped him from showing proof that FTX had enough money for customer withdrawals.
  • Former FTX employees testified that Bankman-Fried ordered them to use customer funds to cover losses at his hedge fund Alameda Research.
  • Bankman-Fried was sentenced to 25 years in prison and is held near Santa Barbara, California.
  • He is eligible for release in 2044.
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