The testimonies have begun on the US vs. Sam Bankman-Fried criminal trial, with the latest witness being Caroline Ellison, known to be Alameda Research's former CEO and ex-girlfriend of the defendant. Here, she revealed massive information against Bankman-Fried, telling the court that she was directed by him to do illegal things for the company.
Her claims are another massive blow to SBF's defense in his quest to prove his innocence in the many charges against him including fraud, conspiracy, and more.
Caroline Ellison Testifies Against Sam Bankman-Fried
(Photo : Michael M. Santiago/Getty Images)
The Associated Press has reported the latest appearance of another disgraced executive from Alameda Research, Caroline Ellison, who testified against Sam Bankman-Fried last October 10. Here, she admitted her guilt and actions during her stint at FTX, claiming that she was involved in money laundering, committing fraud, and conspiracy during their management.
As per Ellison, SBF was originally the CEO and owner of Alameda Research before he hired her in place of him, to "commit these crimes."
In her previous case, Ellison pleaded guilty on the charges filed against her which included fraud and money laundering.
Read Also: Sam Bankman-Fried Trial Starts: Here's What to Know
Ellison: Alameda Took Money from FTX as per SBF
In her words, Sam Bankman-Fried allegedly directed her to take money from FTX customers, amounting to billions of dollars to bring to Alameda Research. These funds were used to invest in multiple projects and pay off lenders.
Ellison regarded that Alameda borrowed $14 billion from FTX customers and it was only able to repay some of it. Despite her previous concerns on the massive loans Alameda took from FTX, Ellisson always "defer" to Bankman-Fried because of his ownership of these companies.
The court also asked her previous relationship with the defendant, saying that she joined the company in 2017, had a romantic and physical relationship in 2018, and ended everything back in 2022.
Sam Bankman-Fried's Criminal Trial
Sam Bankman-Fried's criminal trial only began last week, October 3, with many revelations already seen in his court from various claims and testimonies which are looking to prosecute him for his actions. The case was pushed by FTX, his former company, and the US government, looking into his alleged fraudulent actions that significantly affected customers.
Apart from his case, Joseph Bankman and Barbara Fried, SBF's parents, are also facing a lawsuit from FTX.
The trial's proceedings saw different witnesses and testimonies that further hammer the nail to his fight to prove his innocence, with former Alameda and FTX executives revealing their stories.
This case is expected to run until early November to review everything that has happened, and reach a verdict that would dictate the fate of the disgraced executive. Ellison's recent testimony adds gravity to the charges against SBF, with her also claiming her guilt from her past actions, avoiding jail time for her full cooperation in this investigation.
Related Article: Sam Bankman-Fried Trial: FTX Co-Founder Accuses Alameda Research of 'Taking Customers' Money'
