Sam Bankman-Fried’s two anonymous sponsors invested $700,000 to get him out of jail
Sam Bankman-Fried was released on bail after two unnamed people paid a total of $700,000, according to court documents.
Bankman-Fried, the disgraced former crypto mogul whose exchange FTX declared bankruptcy in November, has been under house arrest at his parents’ $4 million home in Palo Alto, Calif., since last month .
He was released from federal custody in Manhattan on $250 million bail after being extradited from the Bahamas to face fraud and money laundering charges related to the FTX collapse.
As part of the conditions of his release, one of his sponsors posted $500,000 bail while the other posted $200,000, according to court documents. seen by the Insider news site. The identities of the two individuals remain secret at the request of Bankman-Fried’s lawyers who say releasing their names could pose a security risk.
Christian Everdell, one of Bankman-Fried’s lawyers, revealed the amount of the contributions so that the federal judge handling the case – U.S. District Judge Lewis Kaplan – included them in the bail conditions documents. on bail, according to Insider.
“We therefore respectfully request that the Court update the bail conditions to reflect that the two non-parental sureties will sign separate appearance bonds prepared by the Magistrate’s Clerk’s Office in the amount of $500,000 and $200,000, respectively,” Everdell wrote.
Several media have asked Kaplan to reveal the identity of the two bail sponsors. However, the judge ruled last week that the names “will remain under seal” until he issues a final ruling on the matter.
Bail was also secured after Bankman-Fried’s parents – Stanford law professors Joseph Bankman and Barbara Fried – put their house up as collateral.
The family hired a $10,000-a-week armed security guard to guard the Palo Alto home after the accused of cryptocurrency fraud received death threats.
“Recently, the Bankman-Frieds had a security incident at their home when a black car slammed into the metal barricade set up in front of their home,” Everdell wrote in the court filing on Thursday.
“Three men got out of the car. When the security guard on duty confronted them, the men said something like, “You can’t keep us out.”
Everdell wrote, “The men got back into the car and quickly drove off before the security guard could see the license plate.”
FTX, which was once valued at north of $26 billion, collapsed after client funds were used to cover risky bets made by Bankman-Fried hedge fund Alameda Research. Bankman-Fried denied any wrongdoing and pleaded not guilty.
Bankman-Fried also had to hand over her passport and wear an ankle bracelet to monitor her movements.
