Sam Bankman-Fried Appeals Conviction, Cites Judicial Bias

Sam Bankman-Fried Seeks New Trial, Alleging Judicial Bias and Errors

Former FTX CEO Sam Bankman-Fried has officially filed an appeal for a new trial. His legal team, led by Alexandra Shapiro, has accused New York District Judge Lewis Kaplan of displaying bias and preventing the submission of key evidence during the trial. 

Bankman-Fried was previously convicted of defrauding FTX exchange customers and investors and sentenced to 25 years in prison. The appeal, filed in the U.S. Court of Appeals for the Second Circuit, seeks to overturn this conviction, citing significant procedural errors and judicial bias.

Allegations of Judicial Bias and Evidence Suppression

In a 102-page appeal, Shapiro criticized Judge Kaplan’s handling of Bankman-Fried’s case, alleging he presumed the defendant’s guilt from the outset. Shapiro argued that the court’s refusal to admit crucial evidence and testimonies prevented the jury from seeing the full picture. 

She claimed that media bias and actions by the FTX debtor estate, federal prosecutors, and the judge contributed to this presumption of guilt. Key evidence regarding the solvency of FTX and Alameda was excluded, which Shapiro argued would have shown that FTX’s issues stemmed from a liquidity crisis, not insolvency. 

Additionally, blocking Sam Bankman-Fried from testifying about his reliance on legal advice impaired the defense's narrative. Prosecutors depicted Bankman-Fried as orchestrating a major fraud, akin to Bernie Madoff, alleging he spent billions on luxury properties and political donations with irrecoverable funds. 

Shapiro countered this, noting the FTX estate recovered up to $16.3 billion and that many investments were prudent but illiquid, worsening the liquidity crisis during the November 2022 withdrawal surge. Shapiro also accused Judge Kaplan of bias, alleging he expedited the jury’s verdict with incentives like free dinner and car service, consistently favoring the prosecution. The appeal calls for a new trial with a different judge to ensure fairness, arguing the original trial's errors and bias severely prejudiced the outcome.

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