**Sam Bankman-Fried Appeals Conviction, Cites Judge Bias and FTX Solvency in 2nd Circuit Court**

Sam Bankman-Fried, the disgraced founder of the collapsed cryptocurrency exchange FTX, is taking his case to the 2nd US Circuit Court of Appeals in New York, arguing that he never received a fair trial. According to Bloomberg, his legal team claims the former crypto billionaire was “presumed guilty” from the start, facing bias not only from prosecutors and the press but, critically, from the presiding judge.

The 33-year-old was convicted in 2023 on seven criminal counts, including fraud and conspiracy. He received a 25-year prison sentence for his role in what prosecutors described as one of the largest financial frauds in history. Bankman-Fried is now serving time in California and is seeking to overturn both his conviction and the $11 billion restitution order through his high-powered appeals attorney, Alexandra Shapiro.

### Judge Bias at Center of Appeal Arguments

Bankman-Fried’s defense team has heavily focused on alleged misconduct by US District Judge Lewis Kaplan, who presided over the original trial. According to the appeal brief, Kaplan “repeatedly put a thumb on the scale to help the government and thwart the defense.”

The lawyers claim the judge pressured jurors into reaching a quick verdict by suggesting they could work late, offering free dinner, and providing car service home—actions the defense argues compromised the integrity of deliberations. Additionally, they allege that Judge Kaplan “continually ridiculed Bankman-Fried, criticized his demeanor, and signaled his disbelief” during testimony.

Notably, when Bankman-Fried testified that he did not run his sister hedge fund, Alameda Research, after stepping down as CEO, Kaplan allegedly called this testimony “a joke.” The legal team is now requesting a complete retrial with a different judge.

### FTX Solvency Claims Fuel Controversy

Adding fuel to the appeal, Bankman-Fried’s team released documents in October claiming that FTX held approximately $136 billion in petition-date assets and “was never insolvent.” The filing revealed substantial holdings, including:

– $14.3 billion in Anthropic equity
– $7.6 billion in Robinhood stock
– 58 million SOL (approximately $12.4 billion)
– 205,000 BTC (approximately $2.3 billion)
– 112,600 ETH (approximately $500 million)

His lawyers argue that roughly 98% of creditors have been repaid at 120% of their claims, with projections showing that all customers will receive between 119% and 143% repayment. They contend Bankman-Fried faced merely a liquidity crisis, not insolvency, and that the situation “was on track to be resolved” before FTX’s external counsel seized control.

However, these claims have been firmly rejected by the crypto community, which remains skeptical of the defense’s arguments.

### Key Testimony and Pardon Speculation

During the original trial, three former FTX executives testified against Bankman-Fried after pleading guilty to felony charges: co-founder Gary Wang, engineering chief Nishad Singh, and Alameda CEO Caroline Ellison, who was also Bankman-Fried’s former girlfriend.

Ellison’s testimony was particularly damaging, describing how she prepared seven “alternative balance sheets” at Bankman-Fried’s direction to conceal that $10 billion had been borrowed from FTX customers.

The appeal also challenges Judge Kaplan’s decision to block testimony that FTX had sufficient assets to repay customers, while allowing prosecutors to claim Bankman-Fried stole billions. Additionally, Shapiro argues that the judge improperly prevented Bankman-Fried from testifying that he acted in good faith by following the advice of FTX lawyers.

Reports suggest Bankman-Fried’s parents have explored the possibility of securing a presidential pardon from Donald Trump, though the crypto community has strongly opposed any clemency.

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Sam Bankman-Fried remains imprisoned as his legal team pursues a second chance through the appeals process. The case continues to draw widespread attention, highlighting lingering controversies surrounding the collapse of one of the crypto industry’s most high-profile exchanges.
https://bitcoinethereumnews.com/tech/sbf-claims-trial-was-biased-and-unfair-appeals-ftx-fraud-conviction/