FTX Founder will Likely Serve 25 Years, Not 100 Years: Former DOJ Prosecutor
- Former DoJ prosecutor Renato Mariotti believes that FTX founder SBF will serve 25 years in prison.
- The jury found Bankman-Fried guilty on seven counts, and she faces a maximum sentence of 115 years.
- Presiding judge Lewis Kaplan has set the sentencing date for March 28, 2024.
- He said that due to the severity of crimes, the sentencing guidelines are likely to be “sky high.”
A former prosecutor working with the United States Department’s Securities and Commodities Fraud Section, Renato Mariotti, recently talked about the possible sentencing that the founder of bankrupt crypto exchange FTX, Sam Bankman-Fried, is expected to receive. The sentencing is scheduled for next year after SBF was found guilty on seven counts.
The former DoJ prosecutor shared that he expects the former FTX CEO and disgraced crypto entrepreneur to spend as much as 25 years in prison in a recent interview with CNBC. The report noted that the presiding judge over SBF’s criminal trial, 78-year-old Lewis Kaplan, is a veteran, has presided over many big cases presented in the courthouse at 500 Pearl Street in downtown Manhattan, and is a no-nonsense judge.
Interestingly, the jury found the FTX founder guilty of two counts of wire fraud, two counts of wire fraud conspiracy, one count of securities fraud, one count of commodities fraud conspiracy, and one count of money laundering conspiracy. The sentencing will take place on March 28, 2024, and until then, Kaplan will decide the possible prison time for the disgraced entrepreneur. The maximum sentence for these counts comes to 115 years.
Mariotti pointed out that the sentence will be based on several factors, like the severity of the crime and the defendant’s prior criminal conduct. The former prosecutor pointed out that given the FTX founder’s actions in court and the severity of his crimes, the sentencing guidelines are likely to be “sky high.”
However, the judge will also consider other things like the FTX founder’s cooperation with authorities, remorse, and the impact of the crimes on the victims. Considering the millions of customers affected by the collapse of the exchange, Mariotti believes that the judge will have more compassion for the customers who placed their faith in SBF and not for the entrepreneur.
“Since judges have discretion even under the Guidelines, I believe his sentence will be in the 15- to 20-year range,” said former Assistant United States Attorney Kevin J. O’Brien, who specializes in criminal defense in New York City.
On the other hand, FTX, under its new management, has plans to restart operations. The firm is in talks with three bidders, and a detailed plan will be out by mid-December, revealing the firm’s future plans.