FTX co-founder Gary Wang asked a federal judge not to send him to prison. Wang stated that he would testify against his former business partner Sam Bankman-Fried, whom he has known for a long time. This request comes after Wang admitted his role in fraud and conspiracy in the 2022 collapse of FTX.
Defense of his lawyer
Wang’s lawyer said in a sentencing memo filed in Manhattan Federal Court that his client should not be convicted. The lawyer emphasized Wang’s assistance to prosecutors and that his role in the scheme was minor compared to others.
Wang was one of the first executives to share information about FTX and Alameda Research with authorities. Lawyer Graff stated that Wang was not involved in the inception of the fraud scheme and, unlike other executives, did not engage in deceptive actions.
The lawyer claims Wang’s role in the fraud was minor compared to other former executives such as Caroline Ellison and Nishad Singh. While Singh escaped imprisonment by cooperating with the government, Ellison received a two-year prison sentence.
“Gary was not involved in the inception of the scheme, was not provided with details of the scheme and, unlike Bankman-Fried, Ellison and Singh, did not engage in any deceptive acts.” -Graff.
Other Developments
Wang’s lawyer stated that his client was expecting the birth of her first child shortly after the trial date and that it would be fair for her to stay with her family. It was also reported that the US government is trying to recover approximately $13.25 million in political donations made by FTX executives. Attorney General Lewis Kaplan granted additional time for the return of these funds.
“Gary wants to be a good husband and father and help heal the wounds of FTX victims.” -Graff
Wang’s trial will be on November 20, and according to the lawyer’s defense, Wang’s cooperation in the FTX case, considering his weak roles, constitutes a sufficient reason not to send him to prison.
Wang’s case demonstrates the importance of cooperation in resolving the FTX scandal. His lawyers’ defense argues that Wang is less guilty than other executives and should not go to prison so he can support his family. This situation once again brings to the fore the impact of cooperation on the amount of fines in similar cases.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
