Sam Bankman-Fried, the founder of FTX, has returned to the Metropolitan Detention Center (MDC) in Brooklyn, New York after spending nearly a week at a transfer facility in Oklahoma, according to inmate records.
Following a recommendation from Judge Lewis A. Kaplan to be moved to a prison in California to be closer to family, Bankman-Fried was temporarily sent to the Federal Transfer Facility in Oklahoma City. However, his lawyers opposed the idea, and the FTX founder expressed his desire to remain in New York while his legal team works on his appeal.
In an April letter to the Bureau of Prisons, Kaplan requested that Bankman-Fried stay at the MDC in Brooklyn until his appeal is fully prepared to ensure easy access to his appellate counsel. This move indicates the government’s willingness to accommodate Bankman-Fried’s preferences as he prepares for his upcoming appeal related to the digital asset fraud committed at FTX.
Bankman-Fried has been held at the MDC since August of last year when his bail was revoked for witness tampering. This came after he shared parts of his ex-girlfriend Caroline Ellison’s diary with the New York Times, who was a key witness for the prosecution. The move was seen as an attempt to discredit Ellison and sway public opinion in his favor outside the courtroom.
Following a rapid fraud trial last fall, Bankman-Fried was convicted on all charges and sentenced to 25 years in federal prison. He was also ordered to pay $11 billion for his role in orchestrating the massive crypto fraud scheme that defrauded FTX investors of $8 billion.
Several of Bankman-Fried’s former colleagues, including Ellison, are expected to be sentenced later this year for their involvement in the fraudulent activities at the crypto exchange.
