A federal judge extended restrictions on Sam Bankman-Fried’s ability to contact former employees of FTX, citing concerns that he could delete text messages and obstruct the government’s investigation.
Judge Lewis Kaplan said in a bail hearing Thursday that he was concerned about the delete functions in certain messaging apps, and that he needed more information from Bankman-Fried’s attorneys about how they intend to preserve their client’s communications while he awaits trial on federal fraud charges.
Bankman-Fried’s defense team argued that he posed no flight risk and should be released on bail, but the judge said he was not yet convinced.
Bankman-Fried’s defense team argued that he posed no flight risk and should be released on bail, but the judge said he was not yet convinced.
Bankman-Fried pleaded not guilty in January. He is under house arrest on a $250 million bond, residing in his parents’ Palo Alto, California, home, while he awaits trial.
Thursday’s hearing came after prosecutors raised concerns about potential witness tampering, citing a text message Bankman-Fried sent to the former general counsel of FTX, the bankrupt crypto exchange.
The judge said last week that the text message appeared to be a “material threat of inappropriate contact with witnesses.”
Bankman-Fried’s defense attorney countered that the text was not a threat, but rather an attempt to get information from the former general counsel.