FTX founder pleads not guilty to fraud charge

Sam Bankman-Fried, accused of cheating investors of millions in his FTX cryptocurrency trading platform, has pleaded not guilty.

January 3, 2023 - 3:38 PM

FTX Founder Sam Bankman-Fried leaves Manhattan Federal Court on Jan. 3, 2023, in New York City. Bankman-Fried, who pleaded not guilty during the court hearing, has been charged with eight criminal counts of fraud, conspiracy, money-laundering offenses which includes making illegal political contributions. He was released on $250 million bond after being extradited from the Bahamas with the bail package requiring him to stay with his parents in California as he awaits trial. Gary Wang, who co-founded the company, and Carolyn Ellison, the former CEO of Alameda, who have both pleaded guilty to fraud charges, are expected to be government witnesses during his trial. Photo by Michael M. Santiago/Getty Images/TNS

NEW YORK (AP) — FTX founder Sam Bankman-Fried pleaded not guilty in Manhattan federal court Tuesday to charges that he cheated investors and looted customer deposits on his cryptocurrency trading platform as a judge set a tentative trial date for October.

Bankman-Fried, 30, is accused of illegally diverting massive sums of customer money from FTX to make lavish real estate purchases, donate money to politicians and make risky trades at Alameda Research, his cryptocurrency hedge fund trading firm.

Bankman-Fried’s attorney, Mark Cohen, announced his client’s plea, saying: “He pleads not guilty to all counts.”

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