- The US DOJ wants more insight on the Defense-of-Counsel strategy from Sam Bankman-Fried.
- His legal team sees this as way forward in its current legal mess.
The United States Department of Justice (DOJ) is demanding further elaboration regarding Sam Bankman Fried’s (SBF) intended utilization of the advice-of-counsel defense. This development stems from the ongoing legal proceedings involving SBF, a once prominent figure in the crypto financial industry.
Meanwhile, the advice-of-counsel defense is a legal strategy wherein a defendant asserts that their actions were based on the guidance or advice provided by legal professionals. In this case, the 31-year-old entrepreneur is relying on this defense in response to the charges brought against him by the Department of Justice.
As per the filing, the demand for detailed information indicates that the prosecution is aiming to assess the legitimacy and appropriateness of his defense strategy in relation to the charges at hand. Also, the request underscores the complexity of the case and the need for a comprehensive understanding of the defense strategy’s foundation.
As the legal proceedings unfold, stakeholders in the financial and cryptocurrency sectors, as well as legal experts, will likely observe this case closely. The handling of the advice-of-counsel defense could set a precedent for how similar defenses are treated in future cases involving individuals from the financial and technological spheres.
Sam Bankman-Fried’s Attorney Responds to the DOJ
In response to the DOJ, SBF’s current lawyer Mark Cohen in a filing, confirmed that the disclosures regarding the advice-of-counsel strategy were sufficient, adding that SBF’s release is necessary to prepare for his defense.
Cohen also said the internet access provided to SBF two days a week is woefully inadequate and the ability of the counsel to consult with and discuss extensively with Bankman-Fried has become cumbersome, time-consuming, and almost not productive. However, Cohen assured the court that the defense would provide all the details the court requires.
Meanwhile, the outcome of this request for more detailed information could significantly impact the trajectory of the legal proceedings. If the DOJ deems the defense strategy insufficient or unsubstantiated, it might influence the strength of SBF’s position in the case. Conversely, a well-supported and relevant defense strategy could potentially bolster his stance in the ongoing legal battle.
More Allegations on SBF Unfold
The situation of the embattled CEO has raised eyebrows since his initial release on bond on December 22, 2022. However, reports revealed that the DOJ believes there may be more to the story. They accused SBF of attempting to tamper with witnesses and pointed to his communication with the general counsel of FTX US via email through the encrypted messaging application Signal on Jan 15, 2023.
Notably, the contents of these communications and the use of Signal’s auto-deletion feature have sparked concerns about potential obstruction and witness intimidation. Also, the DOJ sought the revocation of SBF’s bail based on serious allegations, which include tampering with witnesses and leaking Caroline Ellison’s diary to the New York Times, a request that has now been approved.
