Sam Bankman-Fried seeks new FTX fraud trial on new testimony
Sam Bankman-Fried has petitioned a federal court for a new trial in the FTX fraud case, asserting that newly available witness testimony could undercut the government’s evidence that resulted in his 25-year prison sentence.
The motion, filed on Feb. 5 in Manhattan federal court, challenges his 2023 conviction and is separate from his pending appeal, according to Bloomberg. Such requests face a significant legal hurdle and are seldom approved. The filing is under review, and Bloomberg characterized the effort as unlikely to succeed.
The submission was made on Bankman-Fried’s behalf by his mother, retired Stanford law professor Barbara Fried.
Bankman-Fried was found guilty on seven criminal counts related to the misuse of customer funds at FTX and its affiliate Alameda Research, one of the most high-profile fraud cases in the digital asset sector. He has maintained his innocence.
Details of the motion
The filing contends that prospective testimony from former FTX executives Daniel Chapsky and Ryan Salame could challenge the prosecution’s portrayal of FTX’s financial position before its collapse in November 2022. Neither individual testified at trial. Salame previously pleaded guilty to campaign finance and fraud-related offenses and is serving a seven-and-a-half-year sentence.
The motion also requests reassignment to a different judge, alleging “manifest prejudice” by trial judge Lewis Kaplan. The claim aligns with arguments raised in Bankman-Fried’s appeal, which asserts the court improperly prevented the defense from telling jurors that sufficient funds existed to repay investors.
Separately, the FTX bankruptcy estate continues efforts to return funds to affected customers. The estate is using a phased repayment process and distributed billions of dollars to creditors in 2025, with further distributions expected as additional asset recoveries and claims reviews progress.
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