US Attorney Requests Pause on SEC and CFTC Lawsuits Against SBF to Prevent ‘Judicial Overlap’
The recent ruling by a New York judge overseeing Sam Bankman-criminal Fried’s case, the co-founder of FTX, will halt the two cases brought by the country’s top two financial authorities.
Following his arrest, a federal grand jury in New York charged Bankman-Fried, and the SEC and CFTC also brought charges against the former CEO of FTX. According to the SEC complaint, “Bankman-Fried organized a years-long deception” beginning with the founding of FTX.
The CFTC asserts that throughout the pertinent period, Alameda “appropriated by Alameda for its own use” client deposits at FTX, including both fiat dollars and cryptocurrencies. The Southern District of New York’s US attorney, Damian Williams, submitted a motion to stay the cases this week and requested that they be put on hold until the criminal case is resolved. The criminal prosecution in Manhattan would have a “substantial influence” on both claims, according to Williams, who claimed that suspending the two proceedings would prevent “judicial overlap.”
The SEC and CFTC charges have been put on hold by the New York judge until the Manhattan trial is finished. The trial for Bankman-Fried is set to start on October 3, 2023, in Manhattan. The co-founder of FTX is accused with eight financial offenses, including conspiracy to engage money laundering and conspiracy to commit securities fraud as well as conspiracy to commit commodities fraud and wire fraud.
Stay with us for more daily crypto news. Comment your thoughts of these news on our social channels below
BarmySpace | Twitter | Telegram Channel | Group Chat | Youtube | Tiktok
