A three-judge panel from the US Court of Appeals for the Second Circuit has denied a motion for the early release of former FTX CEO Sam Bankman-Fried (SBF). The decision, dated September 21, comes in response to a request from SBF's legal team, who had argued for his early release primarily on First Amendment grounds. The panel of Circuit Judges, consisting of John M. Walker Jr., Denny Chin, and William Nardini, sided with Judge Lewis Kaplan, who presided over SBF's criminal case, and found that Bankman-Fried's actions constituted witness tampering.
The judges' ruling indicated that Judge Kaplan had made a correct assessment of the situation by taking into account SBF's long-standing pattern of conduct, which had necessitated the repeated tightening of release conditions. The judges also noted that the district court had evaluated an alternative proposal from SBF - an order limiting his communications with the media - and reasonably concluded that it wasn't a viable long-term solution.
Furthermore, the judges found that SBF's arguments presented by his defense team were unpersuasive. In particular, they highlighted the fact that SBF had admitted to leaking former Alameda Research CEO Carolyn Ellison's private diary to a New York Times reporter, leading to its partial publication. Prosecutors had characterized this behavior as witness intimidation. SBF's lawyers had also argued that his limited internet access made it difficult for him to adequately prepare for his criminal trial.
The appeals court's decision comes after a hearing on September 19, during which both the Department of Justice and SBF's defense team were given about five minutes each to present their cases. As a result of Judge Kaplan's decision on August 11, SBF's $250 million bail was revoked, and he was remanded to the Metropolitan Detention Center in Brooklyn. With his first criminal trial scheduled to start on October 3, the appeals court ruling could represent one of SBF's final opportunities for release before the trial begins. He has pleaded not guilty to all charges.
