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Sam Bankman-Fried returns to a Bahamas prison with no answers on whether he'll fight extradition to the US

Dec 20, 2022, 02:48 IST
Business Insider
Sam Bankman-Fried arriving in court in the Bahamas on Monday, December 19.Dante Carrer/Reuters
  • It's still not certain if Sam Bankman-Fried will submit to an extradition to be brought to the US.
  • He's facing serious wire fraud and conspiracy charges in New York federal court.
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Sam Bankman-Fried returned to his Bahamian prison after a hearing on Monday that reportedly didn't resolve whether he would be willing to be extradited to the US.

A court in the Bahamas returned him into custody after a hearing that yielded no answers on Bankman-Fried's stance on an extradition, according to a CNBC report, which said he wanted to view the criminal charges against him in the US.

If Bankman-Fried were to be extradited, he would have to appear before the New York federal court where prosecutors filed his indictment, so that he can officially review the charges against him and enter a plea.

There were indications earlier that he may concede to extradition by US authorities, as Bloomberg reported. But Monday's hearing left the question open, as Bankman-Fried's own lawyer told the court that he didn't expect the former FTX CEO to be there, according to the Wall Street Journal.

Bankman-Fried previously told a magistrate judge in the Bahamas that he wanted to preserve the option to fight being brought to the US where he's facing criminal charges. He has spent roughly the past week since his arrest at an infamous Bahamian prison known for its rough conditions.

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A representative for Bankman-Fried declined to comment on Monday.

Federal prosecutors in the US have hit Bankman-Fried with 8 counts, including for wire fraud, conspiracy to commit money laundering, and conspiracy to violate campaign finance laws.

US Attorney Damian Williams, who heads the federal prosecutors' office in Manhattan that brought the criminal indictment, alleged in a press conference earlier this month that Bankman-Fried's political contributions were really bankrolled by jilted customers.

Political organizations that have been the beneficiaries of Bankman-Fried's apparent largesse include Democratic groups like House Majority PAC and The Protect Our Future PAC, which are likely to face lawsuits through the FTX bankruptcy to reclaim the tainted donations.

"These contributions were disguised to look like they were coming from wealthy co-conspirators when, in fact, the contributions were funded by Alameda research with stolen customer money," Williams said at the conference.

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"And all of this dirty money was used in service of Bankman-Fried's desire to buy bipartisan influence and impact the direction of public policy in Washington," he said.

The brief indictment against Bankman-Fried targeted just him, and laid the foundation to extradite him from the Bahamas.

But given the conspiracy charges indicating the presence of others who acted with Bankman-Fried on the alleged scheme, prosecutors could be investigating those once in his orbit, like ex-girlfriend Caroline Ellison, who used to head up Bankman-Fried's separate company Alameda Research.

Prosecutors' ongoing inquiry could lead to potentially more detailed charges about other co-conspirators.

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