DOJ Drops Campaign Finance Charge Against Dem Megadonor, Alleged Fraudster
The Department of Justice dropped a campaign finance charge against disgraced former crypto tycoon Sam Bankman-Fried on Wednesday night, according to a court document from the Southern District of New York.
Authorities assert that Bankman-Fried, co-founder of bankrupt crypto exchange FTX, and his associates utilized customer deposits for $90 million in campaign contributions to around 300 candidates or political action committees, according to The New York Times.
The DOJ’s letter to the New York court states that it is not pursuing the charge because the Bahamas did not plan to extradite Bankman-Fried to the U.S. on it.
“The Government has been informed that The Bahamas notified the United States earlier today that The Bahamas did not intend to extradite the defendant on the campaign contributions count,” the letter asserts.
“Accordingly, in keeping with its treaty obligations to The Bahamas, the Government does not intend to proceed to trial on the campaign contributions count,” it says.
JUST IN: Feds won’t seek to try SBF on campaign finance charge after Bahamas said it wasn’t part of extradition agreement. Doc: https://t.co/ejOwrCGgYQ
— Josh Gerstein (@joshgerstein) July 27, 2023
Bankman-Fried contributed nearly $39 million to Democrat-aligned causes, emerging as the second-largest individual donor to them during the 2022 midterm election cycle, according to The Washington Post’s analysis of Federal Election Commission data.
The Bahamas speedily extradited him to the U.S. in December when FTX collapsed, according to the Times.
Since then, Bankman-Fried has been confined to his parents’ California residence on a $250 million bond, according to NPR.
Prosecutors requested a federal judge to detain him in jail until his trial scheduled for October on Wednesday, NPR reported.
The judge placed a gag order on Bankman-Fried because he allegedly tampered with witnesses by leaking his former girlfriend and FTX business partner Caroline Ellison’s diary entries, according to CNN.
SAM BANKMAN-FRIED LEAVING COURT — possibly for the last time. Judge may throw him in jail for leaking Caroline Ellison diary entries.https://t.co/JegjxjDAK8 pic.twitter.com/ElzTZn63x1
— Jacob Shamsian ⚖️ (@JayShams) July 26, 2023
The DOJ and Bankman-Fried’s attorney did not immediately respond to the Daily Caller News Foundation’s requests for comment.
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