US prosecutors have expressed concern over the use of a Virtual Private Network (VPN) by Sam Bankman-Fried to access the Internet during his detention.
In a letter to US District Court Judge Lewis Kaplan on Monday, the US Attorney’s Office in New York said they have noticed that the former FTX boss used a VPN on January 29 and February 12. Judge Kaplan is overseeing the government’s case accusing Bankman-Fried of multiple felonies related to FTX, including fraud, conspiracy and money laundering.
A VPN hides a user’s IP address, allowing people to remain private when using the Internet. Government lawyers said this could be problematic in the SBF’s case because it hides the websites it visits, hides its whereabouts, allows access to web content otherwise inaccessible in the US, and undetectable data. Transfer and allows access to the dark web.
“In other words, Internet service providers or third parties (such as the government) cannot see what websites a user is visiting or what data is being sent and received online,” prosecutors wrote.
SBF’s lawyers have reportedly said that the infamous crypto boss did not use the VPN for any evil purpose. ,[O]Your client used a VPN to access an NFL Game Pass international subscription, which he had purchased earlier while living in the Bahamas, so that he could watch NFL playoff games,” he wrote in a separate letter to Judge Kaplan.
SBF’s communication saga continues
Last week, Judge Kaplan banned SBF from using messaging apps that auto-delete texts. The move came after prosecutors Claimed The disgraced crypto boss tried to influence some potential witnesses at his trial via the encrypted messaging software Signal.
At the time, government attorneys said that SBF was in contact with “current and former FTX employees”. Citing fears of potential witness tampering, prosecutors have asked the court to ban the SBF from using the messaging platform, saying it is necessary to “prevent obstruction of justice”.
Back in January, the US Department of Justice opposed FTX’s hiring of Sullivan & Cromwell, the law firm currently tasked with investigating the exchange, citing a potential conflict of interest.
That’s because Miller, FTX US general counsel, previously worked at S&C for eight years. The DOJ said the investigation would place the law firm “in the conflicting position of investigating itself and its former partner.”
FTX and its group of crypto companies filed for Chapter 11 bankruptcy In early November. Sam Bankman-Fried, disgraced founder of FTX, was arrested later after criminal charges were formally filed against him by US prosecutors in the Bahamas. He was eventually extradited to the US where he was later released from prison posting a $250m bond in a New York court.
The DOJ has filed eight criminal charges, including wire fraud, money laundering, securities fraud, commodities fraud and conspiracy to violate campaign finance laws, against the infamous crypto boss.
The Commodity Futures Trading Commission also brought civil charges against SBF for fraud, saying Bankman-Fried, FTX and Alameda Research misappropriated more than $8 billion in customer deposits. The Securities and Exchange Commission has brought similar fees.
On Monday, a New York judge keep cases Prioritizing the criminal cases against Crypto Boss against the SBF brought by the SEC and CFTC. He argued that the outcome of the criminal case would affect the issues that remained in the civil case.
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