FTX Former Executive Backs Out Of Plea Deal As Partner Faces Scrutiny
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Ryan Salame, the former executive of FTX who received a 7.5-year sentence in May, has withdrawn his legal plea to a New York court. He had asked that the court should make sure the terms of his plea agreement were followed or his plea canceled and his sentence overturned.
A week ago, Salame’s lawyers presented a petition to the court, claiming that prosecutors got his guilty plea wrongly. They forced him to say he was guilty by pledging to end their probing into Michelle Bond, Salame’s spouse and the mother of his little child.
Michelle Bond Was Accused Of Breaking Campaign Finance Rules On August 22
Salame’s request was lodged a day before the allegations against Bond were announced. Bond, an ex-lawyer from the U.S. Securities and Exchange Commission (SEC), who led a D.C.-based digital currency advocacy group for years was brought to court on Aug. 22. She was accused of accepting illegitimate campaign funds from Salame and other FTX workers on her unsuccessful 2022 run for Congress.
Even after Salame has taken back his appeal, Judge Lewis Kaplan is reported to have called for a hearing on the initial petition and Salame’s presence is needed as part of his bail terms.
This hearing will continue to check if the government followed the conditions of Salame’s plea agreement even though his request was withdrawn.
Salame’s legal maneuvers and Bond’s charges show tight investigations on FTX’s ex-executives. Bond is now dealing with four major charges for allegedly breaching campaign finance rules. These include planning illegal political donations, giving and accepting too much money for campaigns, one for causing and taking an illegal company donation, and one for causing and receiving a fake donation. If she is found guilty of these charges, she could be sentenced to five years in prison.
Prosecutors Allege Bankman-Fried Used Salame And Others As Fake Donors
The ongoing legal trouble between Bond and Salame might show more about how they are involved with FTX, a firm already in big trouble.
Salame served as the Co-Chief Executive Officer at FTX’s Bahamas subsidiary. His choice to admit guilt came after the forthcoming trial of Sam Bankman-Fried. Sam was sentenced to prison for leading a multi-billion fraud scheme.
At FTX, Salame was a high-ranking executive and also contributed a lot to Republican political campaigns. It was reported that he sent $24 million to political parties. Also, prosecutors said Bankman-Fried used Salame and other FTX leaders as fake donors.
