FTX founder Sam Bankman-Fried will take the stand to testify in his personal protection, his attorney stated in a convention name Wednesday. The choice by his authorized crew units him up for a cross-examination by federal prosecutors, who might be ready to press him on the collapse of his crypto change FTX.
Bankman-Fried’s choice to testify got here after federal prosecutors and his protection crew have been ready to safe the alleged fraudster an sufficient provide of his ADHD treatment. His protection had beforehand argued earlier than the courtroom that insufficient entry to the treatment impugned his capability to take part in his protection.
The FTX co-founder’s authorized crew will start its protection instantly after the federal government finishes its case, which is anticipated to happen Thursday morning. Prosecutors have one remaining witness to name, a Federal Bureau of Investigation agent who will function a abstract witness.
The protection may even name three different witnesses in addition to Bankman-Fried to the stand, protection attorney Mark Cohen stated on the decision.
His legal professionals had opposed the federal government’s request to start their protection instantly after the federal government rested its case in a submitting Tuesday night time.
It is broadly thought of to be a dangerous maneuver. While his protection crew might be ready to query him, and the previous billionaire would have the ability to present his personal narrative as to the collapse, it additionally opens up Bankman-Fried to a cross-examination by federal prosecutors. So far, the prosecution has referred to as up a number of of Bankman-Fried’s high executives to testify, together with Nishad Singh and Caroline Ellison, his one-time romantic associate and former CEO of Alameda Research.
Bankman-Fried stands accused of fraud and cash laundering of his position in the collapse of the multi-billion greenback crypto change FTX. Since the corporate filed for chapter, Bankman-Fried has been accused of systematically pilfering billions in buyer property from the exchanges reserves, in order to fund political contributions, actual property acquisitions and excessive profile sponsorship offers.
The authorities has additionally introduced intensive proof to help its claims, together with Signal chats and inner paperwork, which prosecutors allege present how Bankman-Fried orchestrated the spending of buyer funds.
CNBC’s Dawn Giel contributed to this report.