Judge deems Sam Bankman-Fried’s bail too low

The proposed bail restrictions for former FTX founder Sam Bankman-Fried have raised concerns for U.S. District Judge Lewis Kaplan, Reuters reported on March 10.

As previously reported on March 4, Kaplan asked that Bankman-Fried be restricted from using cellphones, tablets, laptops, and any video game platforms or devices that enable chat and audio contact.

According to the idea, Bankman-Fried’s communication should be restricted to “a flip phone or other non-smartphone with either no online capabilities or internet capabilities deactivated.”

However, Reuters reported that during a March 10 hearing, Kaplan expressed concern over the proposal, stating that Bankman-Fried was “inventive” and could devise means to circumvent the restrictions and communicate covertly with others via electronic means.

Supposedly, Kaplan shared:

“He could find a way around it and conceivably not get caught.”

Bankman-Fried’s attorney, Christian Everdell, assured the judge that he would collaborate with prosecutors on a new proposal to address the judge’s concerns.

Bankman-Fried is presently attempting to avoid prison time until his October 2 fraud trial.

Prosecutors have accused him of stealing billions of dollars in FTX customer funds, making illegal political contributions totaling tens of millions of dollars, and tampering with witnesses.

Since it came out on February 9 that Bankman-Fried had tried to get in touch with possible witnesses in his case, his $250 million bail has been looked at.

In addition, he was temporarily forbidden from using a VPN after it was claimed by prosecutors that he had used one twice, on January 29 and February 12.

Three of Bankman-Fried’s once closest allies, including former Alameda CEO Caroline Ellison, former FTX technology head Gary Wang, and former FTX engineering chief Nishad Singh, have pleaded guilty and are cooperating with prosecutors.