FTX Lawsuit: Sam Bankman-Fried's Bail Signatories Include 2 Academics from Stanford

Isaiah Richard, Tech Times 15 February 2023, 09:02 pm

The FTX lawsuit has not yet commenced its probe into Sam Bankman-Fried's case, but he was previously allowed to go on house arrest under a $250 million bail. In the most recent events regarding this, Judge Lewis A. Kaplan released the names who were previously sealed on the records, identifying who were the signatories on Bankman-Fried's bail.

These include two Stanford University academics who signed on SBF's bail bonds, and it will be a massive payout for them if the former FTX founder decides to flee.

Sam Bankman-Fried's Bail Signatories include two from Stanford

(Photo : SAUL LOEB/AFP via Getty Images)

AP News and other news outlets requested to unseal court documents regarding Sam Bankman-Fried's bail creditors, which Judge Kaplan revealed last Wednesday.

It includes two Stanford University academics, who are on the hook for SBF's stay in his home in Palo Alto, as well as if he tries to flee. These bail signatories pledge $700,000 of their money, and they need to pay this in the instance of SBF disappearing on everyone else.

This includes Larry Kramer, dean emeritus of Stanford Law School, and Andreas Paepcke, a senior research scientist at Stanford.

According to Bloomberg, Kramer pledged $500,000 and Paepcke is on the line for $200,000, alongside SBF's parents who are also on the bond.

Stanford Academic's Comment on Supporting SBF

As per the report from AP News, Kramer mentioned in an e-mail that he is a close friend of SBF's family, Joseph Bankman and Barbara Fried, who previously helped him when his family was facing a battle with cancer.

The dean emeritus said that it is only rightful to help the Bankman-Fried family in these challenges they are facing now.

On the other hand, Paepcke declined to comment regarding the issue.

SBF's team argued against the unsealing of these names, citing public threats to come upon Bankman-Fried's signatories.

FTX Lawsuit and its Events

After the Bahamas arrest of Sam Bankman-Fried and his extradition to the United States to face the lawsuit filed against him and his colleagues made up of former FTX executives, he was released on a $250 million bail to be on house arrest in his parents' home in Palo Alto.

FTX wants to know where the missing funds went, and the only way to do this is to battle it out in the courts against its co-founder and former leader.

The company's goal is to pay off its investors and customers from when it was still operating as one of the world's top crypto-exchange platforms, centering on digital currencies as its trade.

While former executives like Caroline Ellison and Gary Want already pled guilty to the fraud charges, SBF claimed that he had nothing to do with its downfall.

After a recent order from Judge Kaplan for the former CEO to appear before the court to discuss his bail arrangements, particularly his untrackable internet access, SBF faces another probe into his bonds. These two Stanford academics are backing SBF due to his connections and parents, but their lives and names are also on the line now that they have been revealed to the public.