Former FTX CEO Sam Bankman-Fried has lost his bid to be released from jail ahead of his October trial, according to reports today.
Attorneys for Bankman-Fried had asked a New York district court judge on Monday for a temporary release, arguing that it was “necessary for the preparation of his defense”.
It was first asked in August when SBF’s release on bond was revoked. Following this, the founder was locked up after a judge ruled that he had probably tried to tamper with witnesses.
“We submit that we are finding it exceedingly difficult as a practical matter to adequately prepare for trial with the restrictions on access currently in place,” his lawyers said. “This is not a point we make lightly but it is the reality of the nature of this case.”
In a letter to Judge Lewis Kaplan yesterday, prosecutors argued that Bankman-Fried’s request for release should be denied.
“Many of the accommodations provided by the MDC [Metropolitan Detention Center] and the BOP [Bureau of Prisons] — including the use of two personal air-gapped computers in different locations for added convenience and the MDC’s hand-receipt and delivery of hard-drive materials to the defendant are accommodations beyond those accorded to most detainees,” they said.
However, SBF will be allowed to switch his prisoner jumpsuit for a regular suit in the courtroom after a judge approved a request to change each morning, to the tune of “three suits (consisting of slacks and jackets); four dress shirts; three ties; one belt; four pairs of socks; two pairs of shoes; and appropriate undergarments” to be exact.
The FTX founder, who has caused untold damage to the crypto market, now awaits his trial which is set to begin on 2 October. He faces seven counts of conspiracy and fraud including wire fraud, securities fraud, commodities fraud and money laundering, all for which he has pleaded not guilty.