Legal Expert Says SEC Chair May Testify Against SBF

Top legal expert MetaLawMan says SEC Chair Gary Gensler may testify against SBF. 

Prominent legal expert James “MetaLawMan” Murphy has reacted to the recently-filed amended indictment against Sam Bankman-Fried (SBF), the former CEO of failed crypto exchange FTX. 

New Indictment Against SBF 

According to a report yesterday, US federal prosecutors recently alleged that SBF used part of the money he stole from FTX customers to fund political donations. 

Prosecutors noted that SBF spent over $100 million in political campaign contributions before the 2022 midterm elections. 

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Per the filing, SBF allegedly directed two FTX execs- Nishad Singh and Ryan Salame- to evade contribution limits by donating to the political campaigns of Republicans and Democrats. 

“He leveraged this influence, in turn, to lobby Congress and regulatory agencies to support legislation and regulation he believed would make it easier for FTX to continue to accept customer deposits and grow,” an excerpt from the indictment read. 

SEC Chair May Testify 

Reacting, MetaLawMan shared a part of the indictment that caught his attention. The legal expert stated that SBF lobbied members of Congress and other top-level government officials to promote crypto regulations that would favor FTX and his personal interest. 

New SBF Indictment.

This indictment alleges that SBF lobbied members of Congress and “other high-level government officials to promote cryptocurrency regulation that would favor his business and personal interests.”

This may make Gary Gensler a witness.

Which means SBF’s… https://t.co/BauHQbBFLT

— MetaLawMan (@MetaLawMan) August 14, 2023

MetaLawMan said the new indictment could make SEC Chair Gary Gesler to appear as a witness in the case. He added that if Gensler appeared as a witness, SBF lawyers could cross-examine him under oath. 

It is worth noting that several allegations have emerged, accusing Gensler of working with the former FTX CEO. As reported earlier, Rep. Thomas Earl Emmer commented on a meeting held between Gensler and SBF in March 2022, saying that the SEC was working with the former CEO of FTX to give the exchange special treatment. 

SBF Legal Woes 

Recall that SBF was arrested in December 2022 following the collapse of FTX and Alameda Research. The SEC, CFTC, and the Southern District of New York’s attorney’s office filed multiple charges against SBF. 

At the moment, SBF faces 12 criminal charges spread across two trials scheduled to commence in October 2023 and March 2024, respectively. Meanwhile, SBF will be held in jail throughout his two trials.