Sam Bankman-Fried pleads not guilty in charges stemming from FTX collapse – Axios

Former FTX chief executive Sam Bankman-Fried. Photo: ED JONES/AFP via Getty Images. Disgraced former FTX CEO Sam Bankman-Fried on Tuesday pleaded not guilty to charges of fraud, conspiracy, campaign finance law violations and money laundering in a New York federal court.Why it matters: Since the crypto exchange began to unravel in early November, Bankman-Fried has publicly claimed he was unaware of the depth of the company’s financial troubles, and those at trading firm Alameda Research, FTX’s sister company. Yes, but: Ex-Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang pleaded guilty last month to criminal charges, with Ellison acknowledging that she knew what both firms were doing was “wrong.” What’s more: During her plea hearing on Dec. 19, Ellison said that she and Bankman-Fried created misleading financial statements last year for Alameda’s lenders, and that the trading firm had “access to an unlimited line of credit without being required to post collateral” or other typical guardrails. Wang made similar statements in his own hearing, adding that he was directed to change FTX’s code to enable Alameda’s borrowing. Details: During the hearing, Bankman-Fried was granted a request to publicly redact the identities of the individuals who will co-sign his bond
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