Sam Bankman-Fried Is Seeking to Sway Case Witnesses

• The attorneys have requested the judge to restrict SBF’s access to encrypted messaging systems.
• Prosecutors are also looking to prohibit SBF from contacting former workers of FTX and Alameda Research.

Sam Bankman-Fried (SBF), the co-founder of the now-defunct cryptocurrency exchange FTX, has reportedly attempted to influence the witnesses. In a recent court document, the U.S. prosecutors declared that the former CEO of FTX tried to persuade a witness in the case being investigated by the US government.

In the wake of this, the attorneys of the Southern District of New York have requested the judge restrict SBF from accessing encrypted messaging systems such as “Signal.” They are also looking to prohibit him from contacting former employees of FTX and Alameda Research. 

SBF’s Attempt to Influence the Witnesses

In a letter released on Friday, the prosecutors mentioned a Signal message sent by SBF to “Witness-1” on January 15. 

The message coveys:

I would really love to reconnect and see if there’s a way for us to have a constructive relationship, use each other as resources when possible, or at least vet things with each other.

According to the prosecutors, Bankman-Fried has a history of using Signal for obstructive purposes, and this use of the app is consistent with that. Given that the defendant is aware that Witness-1 may have information that tends to implicate the defendant, this is very troubling, as per the court letter. 

The letter also includes:

The defendant’s request to “vet things with each other” is suggestive of an effort to influence Witness-1’s potential testimony, and the appeal for a “constructive relationship” likewise implies that Witness-1 should align with the defendant.

Additionally, during the “relevant events” of November 2022, Witness-1 engaged in Signal and Slack interactions with the defendant and a small group of company insiders. He had also been in direct contact with the general counsel of FTX US, as per the letter. Moreover, SBF is facing several criminal accusations, including conspiracy to commit money laundering, wire fraud, and misappropriation of customer cash. The SEC and CFTC are also probing the former CEO of FTX over related allegations.

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