© Reuters. FILE PHOTO: Sam Bankman Freed, founder of FTX, walks out of the United States Courthouse in New York City, New York, US, June 15, 2023. REUTERS/Mike Segar/File Photo
by Mrinmay Dey
(Reuters) – Attorneys for FTX founder Sam Bankman-Fried have rejected prosecutors’ claims that his discussions with a New York Times reporter amounted to tampering, but agreed to accept a gag order, they said in a letter to the judge in the criminal fraud case.
The letter, released on Sunday, came after prosecutors sought to block Bankman Fried and its allies from making public statements that could interfere with the case.
Cryptocurrency exchange FTX, once valued at $32 billion, filed for bankruptcy protection in November because it was unable to pay back depositors. Bankman Fried pleaded not guilty to fraud.
Bankman-Fried’s attorney confirmed in the letter that he spoke with The New York Times and provided personal documents that included documents written by a former colleague, Carolyn Ellison, who collaborated with the US government.
Bankman Fried’s attorney Mark Cohen said in the letter, “Bankman Fried did not violate an order of protection in this case, did not violate his bail terms, and did not violate any law or rule governing his conduct.”
A New York Times article titled “Inside Carolyn Ellison’s Private Writings, Watch the Stars in the FTX Affair” reported excerpts from Ellison’s personal Google (NASDAQ::) documents before the FTX collapse in which she spoke of being “unhappy and overwhelmed” with her job and feeling “hurt/rejected” by her Bankman-Fried split.
Ellison led Bankman Fried’s Alameda Research hedge fund and pleaded guilty to defrauding investors and agreed to cooperate with prosecutors. In December, Bankman-Fried said he and Ellison were in a relationship but did not elaborate further.
