Lawyers representing SBF say that these documents from the former FTX law firm contain information that could absolve the former CEO.
Sam Bankman-Fried (SBF) is trying to beat the fraud charges levied against him by requesting documents from the law firm that provided counsel for him, Alameda Research and FTX. According to a court filing, SBF wants to subpoena these documents, as he believes they would help him with his forthcoming court case.
SBF believes he can use documents from the law firm, Fenwick & West, to prove he did not intentionally break any law. He requested these documents to prove that all actions taken were based on legal advice from the law firm.
Interestingly, Fenwick & West is not immediately opposed to providing the documents. In a memorandum submitted to the United States District Court for the Southern District of New York, Fenwick & West said providing the documents requires permission from FTX debtors. Unfortunately for SBF, the documents required are already under the purview of these debtors and the authorities.
According to the memorandum, “the FTX Debtors have given the Government full access to its documents, without the need to issue subpoenas, and are so enmeshed in the Government’s investigation that they must be considered part of the ‘prosecution team’ for purposes of the Government’s discovery obligations.”
Documents SBF Requires from Former Counsel Law Firm Fenwick & West
SBF’s lawyers believe these documents are critical to the case and could help the disgraced FTX founder beat charges. According to the attorneys, the actions SBF took were based on recommendations and advice from the law firm. These actions may explain the charges levied against him.
SBF’s attorneys say that the documents from the law firm will show that SBF was advised to take specific protective measures. These include encrypting or auto-deleting messages, as well as several other possible contraventions of US banking practices. If these documents contain advice as the attorneys suggest, both SBF and Fenwick & West may take a hit. Regardless, many believe it might be difficult to demonstrate that the law firm deliberately tried to sabotage SBF, FTX, Alameda Research, customers, or associates.
Regardless of the content of these documents, reactions from the crypto community have not supported SBF. Some believe a Silicon Valley law firm could not have given SBF bad legal advice. Others say it is impossible that SBF got bad legal advice and did not know he was being misled.
Fenwick & West had helped FTX and Alameda Research with several obligations, including litigation, tax, and trademarks. The law firm also assisted both firms with setting up affiliated companies. However, since FTX crashed, Fenwick & West has purged its website of any FTX references.
FTX’s Legal Battles
Once the second largest crypto exchange, FTX filed for Chapter 11 Bankruptcy protection in November 2022. Valued at $32 billion at one time, the company hit bankruptcy, leading to SBF’s extradition from The Bahamas to the US. He remains at his parents’ Palo Alto home in California, awaiting trial due to begin on October 2nd.
Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge.
When he’s not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.
