In a twist of events surrounding the dealings of the well-known crypto figure, Sam Bankman-Fried, his legal team has fought back against claims of witness tampering. This comes as part of his ongoing court battle, where he has been accused of sharing certain private documents associated with former Alameda Research CEO, Caroline Ellison, with the New York Times.
The reach out to the press by Bankman-Fried, his lawyers maintain, was a legitimate use of his rights to comment on a pending article. They have argued that his actions were misconstrued as an attempt to intimidate Ellison, who is set to testify against him in October. Moreover, they express doubt around the prosecution’s efforts to revoke Bankman-Fried’s bail and place him in custody. In their view, this rests on unfounded assumptions and the suspect timing of the government’s interaction with the New York Times.
The development unfolds amidst extensive criticism from the United States Department of Justice (DOJ), who has alleged that Bankman-Fried’s decision to share Ellison’s journal with The New York Times was aimed to provoke and distress her. Meanwhile, Bankman-Fried’s legal team takes a distinctly different standpoint, suggesting that it was the government who passed Ellison’s diary over.
On a different note, FTX, a well-known crypto exchange, finds itself wrestling with its restructuring plans post-bankruptcy. The official committee of unsecured creditors (UCC) released a statement expressing dissatisfaction towards the exchange’s draft bankruptcy exit plan. Complaints chiefly revolve around the exchange’s reluctance to consult appropriately, the late filing of the plan, and the gaping absence of a crypto-experienced person to nurture FTX if it successfully relaunches as an offshore exchange.
The UCC warns that if its recommendations continue to fall on deaf ears, it will devise its own plan and canvass votes from FTX customers and creditors. The UCC’s chief concern seems to lie in the perception of progress without equivalent action, as it terms the current plan as one-sided and oblivious of their feedbacks. They advocate for the creation of a regulatory-compliant recovery token and the potential allocation of value to the worst-hit customers as part of the bailout plan.
The UCC, however, acknowledges the restructuring team’s overt readiness to modify the scheme in line with the UCC’s guidelines, though debate is set to kick off. Indeed, in this delicate dance of regulations, the road ahead is both winding and long-winded. As crypto enthusiasts, we eagerly await the next chapter, hoping for resolution amidst anticipation. Nonetheless, caution is urged in dealing with what are still largely uncharted waters in the world of digital currencies.
Source: Cointelegraph
