A federal judge has reportedly revoked former FTX CEO Sam Bankman-Fried’s bail following the release of information to New York Times reporters in an alleged attempt to intimidate witnesses.
According to reports of individuals present at an Aug. 11 hearing in the United States District Court for the Southern District of New York, Judge Lewis Kaplan ordered Bankman-Fried’s bail revoked, suggesting he will be held in jail through the end of his two trials for fraud related to his activities at FTX. Prosecutors had been pushing for the revocation of Bankman-Fried’s $250 million bail, which had kept him out of custody since his arraignment in December 2022.
Kaplan reportedly said that Bankman-Fried’s interviews with New York Times reporters resulted in sharing information with the likely intention “to hurt and frighten” former Alameda Research CEO Caroline Ellison, his former colleague and girlfriend. Bankman-Fried’s legal team confirmed he had provided the reporters with some of the published information, which led Kaplan to impose a gag order preventing extrajudicial statements related to the criminal case.
Assistant U.S. Attorney Danielle Sassoon reportedly cited Bankman-Fried’s violations of previous bail conditions, which included a message on the Signal app to FTX US general counsel Ryne Miller in January, using a virtual private network for his internet activity and releasing information to reporters aimed at intimidating Ellison. Sassoon added that the Putnam County Correctional Facility was prepared to offer Bankman-Fried, who also goes by “SBF,” a laptop should the judge order him remanded but also suggested home detention with restrictions on Google Drive was an option.
“In view of the evidence, my conclusion is that there is probable cause to believe that the defendant has attempted to tamper with witnesses at least twice,” said Kaplan, listing additional violations. “All things considered, I am going to revoke bail.”
Sassoon reportedly argued SBF had allegedly asked witnesses to delete certain messages and documents. Bankman-Fried’s attorney, Mark Cohen, reportedly pressed the judge to allow SBF to continue his bail conditions, citing the need to coordinate with the legal team, and added any allegations of witness intimidation were a matter for his October trial.
“Just because the defendant was more subtle than a mobster doesn’t mean it’s okay. […] It’s enough for the court to conclude detention is appropriate if he’s unlikely to abide by his bail conditions,” reportedly said Sassoon. “He is intent on interfering with the integrity of the trial.”
Cohen reportedly said SBF’s legal team intended to appeal the ruling and pressed Kaplan to stay his order until such time. However, the judge denied the motion and ordered Bankman-Fried remanded to custody, likely at the Putnam County Correctional Facility. Once the October trial begins, SBF could be moved to the Metropolitan Detention Center in Brooklyn. He was reportedly led out of the courtroom in handcuffs.
Inner City Press reported Bankman-Fried’s parents may have been present at the hearing. SBF has largely been confined to their California home when not traveling to New York for court proceedings.
Bankman-Fried faces 12 criminal charges spread across two trials scheduled to begin in October 2023 and March 2024. Though prosecutors announced in July they planned to drop a charge concerning violations of campaign finance laws due to the conditions of an extradition agreement with the Bahamas, they said on Aug. 8 they will still consider the alleged scheme as part of a wire fraud charge.
Update (Aug. 11 at 7:44 PM UTC): This article has been updated to include the proposed facilities in which Sam Bankman-Fried will spend his time through his trials.
Andy Burnham has hit out at allies of Sir Keir Starmer for “demanding simplistic statements of loyalty”, claiming they are underestimating the “peril” Labour is in.
The mayor of Greater Manchester insisted his recent interventions have not been about “personal ambition”, but starting an “open debate” about the direction of the party ahead of potentially catastrophic local and devolved elections next year.
In the lead up to Labour’s annual conference in Liverpool this week, the so-called “King of the North” has accused Sir Keir of having no vision for the country, while setting out his own policy proposals.
It has fuelled mounting speculation he could launch a future leadership challenge against the prime minister, who in turn has compared Mr Burnham to Liz Truss.
At a fringe event on the opening day of the conference, the Northern mayor said: “I was clear in the interviews I gave last week, I wanted to launch a debate about the direction of the party and getting a plan to beat Reform UK.
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“Those out there making calls for simplistic statements of loyalty are underestimating the peril the party is in.”
Two polls this week have predicted Reform UK leader Nigel Farage will become the next prime minister, while a poll of Labour members found more than half of them don’t want Sir Keir to fight the next general election.
Mr Burnham later turned up to a rally about Proportional Representation (PR), in which he insisted he wanted “this government to work”.
He received a rapturous reception as he entered the room, flanked by over a dozen photographers.
Image: Andy Bunrham flanked by media at a fringe event
Mr Burnham made light of the attention, quipping that “there’s nothing more unstoppable than an idea whose time has come”, in reference to PR.
But this was not the focus of the punchy speech that followed, in which he criticised the Labour leadership’s handling of dissent, saying a “climate of fear” was preventing MPs from having an “open debate” about the direction of the party.
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A handful of Labour MPs have been suspended over the past year for criticising the government on issues like welfare reform and the two child benefit cap, but Mr Burnham has the freedom to be outspoken as he is not a member of parliament.
He said he had been accused of “all sorts of things” in the past week but had done “nothing more than launch a debate”.
Mr Burnham drew clear dividing lines in a recent interview with The New Statesman, as he said the country should be “less in hock to the bond markets”, called for a greater focus on council housing and said public utilities should be nationalised.
It fuelled speculation of an impending leadership challenge, given Mr Burnham fought twice to run the Labour Party while he was an MP, before stepping down in 2017 to run for the metro mayor position. He has not ruled out a return to Westminster and last week claimed Labour MPs have privately asked him to stand.
Sir Keir tried to shut down the narrative by suggesting Mr Burnham’s policies would unleash the economic chaos of Ms Truss, whose fatal mini budget sent the markets into meltdown, as he dismissed the “personal ambitions of the mayor”.
However, in a direct message to “those who say that I’m speaking out purely for my own ambition”, a defiant Mr Burnham said: “I can say to you tonight I am speaking out for the thousands of councillors here at this conference who are worried about going to those doorsteps next May, speaking for the members of the Senedd who, again, are working hard to keep Wales Labour… and, of course, members of the Scottish parliament as well, who want a stronger story about Labour to go to those doorsteps.
“I’m speaking out for the millions of good people around Britain who want a more hopeful direction for the country.
“I think we can do it. I honestly believe it can be done. We can make this government work, we can find that more hopeful direction and we can win again at the next general election.”
The speech was met with a big round of applause from members, while one Labour MP told Sky News it was a “great speech”.
And while cabinet ministers have called for the party to unite behind the prime minister to fight Reform UK – there appeared to a change in tone from Wes Streeting as the first day of conference drew to a close.
The health secretary told a fringe event that the government must be “open to challenge” from within.
He said: “We’ve got to be self-confident enough as ministers to be open to challenge, and openly debate different ideas, because it makes you stronger as a government.”
Reform’s immigration policy is “racist”, Sir Keir Starmer has said.
He was reacting after Nigel Farage‘s party said it would axe the right of migrants to apply for indefinite leave to remain (ILR), ban anyone who is not a UK citizen from claiming benefits, and force those applying for UK citizenship to renounce other citizenship.
This policy could impact hundreds of thousands of people, although Reform has exempted EU citizens with settled status from its plans to ban migrant access to benefits and its policies on ILR.
Indefinite leave to remain is the status which grants legal migrants the ability to settle in the UK without the need to renew a visa every few years.
Speaking to the BBC, the prime minister and Labour leader said: “Well, I do think that it is a racist policy. I do think it is immoral. It needs to be called out for what it is.”
But he did not condemn those supporting Reform UK.
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Sir Keir added: “No, I think there are plenty of people who either vote Reform or are thinking of voting Reform who are frustrated.
“They had 14 years of failure under the Conservatives, they want us to change things.
“They may have voted Labour a year ago, and they want the change to come more quickly. I actually do understand that.”
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Can Reform scrap common migration path?
He had said previously: “It is one thing to say we’re going to remove illegal migrants, people who have no right to be here. I’m up for that.
“It is a completely different thing to say we are going to reach in to people who are lawfully here and start removing them. They are our neighbours.
“They’re people who work in our economy. They are part of who we are. It will rip this country apart.”
Labour has proposed its own changes to indefinite leave to remain, although it does not appear to be retrospective like Reform’s.
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Responding to the prime minister on social media, Reform’s head of policy Zia Yusuf said “Labour’s new message to the British electorate just dropped:
“‘Pay hundreds of billions for foreign nationals to live off the state forever, or we’ll call you racist!'”
Polling released at the start of the Labour conference by Survation shows that 65% of party members think Labour is going in the wrong direction, 64% think Sir Keir has done badly since taking office and 53% think the party should change leader before the next general election.
Image: A poll suggests over half of Labour members want Sir Keir to exit before the next election. Pic: Reuters
He claimed wages went up faster in 10 months under Labour compared to 10 years under the Conservatives.
But he claimed it “takes time” for improvements to really be felt by the public, “so we have to stay on course and not divert on the basis of one poll or another”.
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Mr Reed said that the “revolving door” of Tory leaders was one of the reasons for Labour’s tricky inheritance – and he was “absolutely” sure Sir Keir should lead the party into the next general election.
The minister went on to brand Mr Farage a “plastic” patriot after the Reform UK leader “begged” the US Congress to put sanctions on British workers.