Sam Bankman-Fried’s parents are exploring a pardon from Donald Trump while FTX’s reorganization plan aims to reimburse creditors. Other FTX execs received reduced sentences for cooperation.

The Pardon Pursuit

According to a Bloomberg report, Sam’s parents, Joseph Bankman and Barbara Fried (both Stanford Law professors), have been chatting with lawyers and folks connected to Trump’s inner circle about the possibility of clemency for their son. The source indicated that these discussions have been happening over recent weeks but it’s not clear if they’ve reached out directly to the White House yet. It’s a high-stakes gamble, given the gravity of Sam’s crimes and the public sentiment surrounding them.

The FTX Fallout and Reduced Sentences

It’s worth remembering that while Sam is facing a long stretch behind bars, other FTX figures have had their sentences reduced for cooperating with investigators. The source explained that Caroline Ellison, who headed Alameda Research, got her sentence trimmed down in exchange for working with prosecutors. She even got out three months early! Ryan Salame, another FTX exec, also saw his 7.5-year sentence reduced by a year, thanks to the First Step Act for good behavior. And, according to the source, two other executives at FTX managed to avoid prison altogether by assisting authorities. This makes Sam’s situation all the more glaring – he’s not getting that same leniency.

The article further mentioned that there’s a bit of a precedent for high-profile pardons. Ross Ulbricht, the guy who created Silk Road, got a pardon from Trump after years of campaigning by his supporters. But it’s not clear if Sam will receive the same level of support. There was some buzz back in December about a potential pardon, partly because of Sam’s connections to the Democratic Party. Elon Musk even said he’d be “shocked” if a pardon didn’t happen. Still, big names like former President Joe Biden haven’t shown any support for it. Meanwhile, FTX’s reorganization plan aims to return up to 119% to creditors, with smaller claims getting paid first. It’s a complex situation, and it’ll be interesting to see how it all unfolds.

Source: Will Trump Pardon Sam Bankman Fried Parents Make A Direct Appeal Report | Cryptopotato.com