US Prosecutors Propose Preemptive Sale of Ex-FTX CEO's Aircraft Amid Forfeiture Proceedings
Summary:
The US government has proposed a preliminary sale of two aircraft tied to ex-FTX CEO, Sam "SBF" Bankman-Fried, before the completion of his asset seizure proceedings. This seeks to prevent their depreciation. The prosecutor has also noted that a variety of other assets, including Robinhood stocks and cryptocurrency, are subject to forfeiture due to Bankman-Fried's criminal conviction. His sentencing is set for March 28, with recommendations varying from 40-50 years to 6.5 years.
In the US government's prosecution of ex-FTX CEO Sam "SBF" Bankman-Fried, it is proposed that two personal airplanes be sold before the finalization of asset seizure proceedings. US Attorney Damian Williams made a filing on March 22, stating the desire to execute a preliminary selling of two aircraft related to FTX and SBF. This is in an effort to stop them from depreciating. The government had posited in October 2023 that Bankman-Fried's legal ties to the Bombardier Global and Embraer Legacy aircraft subject them to seizure.
As it stands, it's uncertain what selling price the government plans to set for the airplanes, previously priced at $15.9 and $12.5 million, as per court documents from October 2023. The government states that if sale proceeds permit, reimbursements up to $1.8 million associated with maintenance and $183,000 related to Legacy's delivery will be undertaken.
Prosecutors, according to Williams, have reached a mutual understanding with FTX and involved parties to transport the Embraer Legacy plane to a Florida airfield. There the US Marshals Service (USMS) can kick-start the sale proceedings "promptly". The Bombardier Global aircraft is already in USMS possession, following a February 2023 warrant.
The forfeiture proceedings following Bankman-Fried's criminal conviction cover numerous assets linked to him, including these private jets. Other assets named in a March filing include Robinhood stocks, US dollar fiat money, cryptocurrency in Binance and Binance.US accounts, as well as political donations made during his tenure as FTX CEO. Bankman-Fried and Marc Mukasey, his legal representative, refrained from opposing the aviation sale.
Sentencing of former FTX CEO, found guilty of seven felonies in November 2023, is set for March 28. He currently resides in prison. Forty to fifty years is the recommended sentence by the prosecution, contrarily, his defense seeks a 6.5 years sentence.
Published At
3/22/2024 9:35:51 PM
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