Nishad Singh’s lawyers argue for no jail time, citing his ‘limited’ role in the FTX case.

adminOctober 17, 2024

Lawyers for Nishad Singh, FTX’s former director of engineering, asked the court not to impose a prison sentence, saying “his circumstances are extraordinary in every respect that is important for sentencing.”

In papers filed Wednesday, Singh’s attorneys noted that he is “in a different position” than other former FTX executives and is an “uncommonly altruistic individual.” His lawyers also submitted more than 100 letters written by Singh’s friends, former colleagues and family.

“In short, his role was much more limited than that of any of the other defendants. He does not underestimate his actions. He pleaded guilty to serious offenses earlier in this case,” Singh’s attorneys wrote in the filing.

In February 2023, Singh pleaded guilty to six criminal charges, including conspiracy to commit fraud and money laundering. he later testified Against Sam Bankman-Fried in October 2023.

In another letter to the judge on Wednesday, Singh wrote that he felt “deeply sorry” for those he had hurt. “When I try to think about how much damage I have caused and participated in, I feel overwhelmed and my stomach ache,” he said. “Looking back, I see how Sam manipulated the truth, but I still believed a lot of his story. “I decided to see what was wrong as expedient or just, and what was dangerous as bold.”

Singh’s lawyers also argued in Wednesday’s filing that Nishad did not participate in the key plot in the case until September 2022, two months before the FTX collapse and after key decisions were made by FTX founders Sam Bankman-Fried and Alameda. Co-CEO Caroline Ellison will use billions of dollars in client funds. “Nishadh did not engage in any such conduct,” the lawyers added. “His role was almost entirely passive.”

Mr. Singh has also been cooperating with the investigation, his lawyers said. “As customers began attempting to withdraw money from FTX, Nishad separated himself from Bankman-Fried and other employees and made misleading public statements in an attempt to dissuade customers from withdrawing money,” the lawyers added.

Alameda Research is closely connected to the FTX exchange, founded by Sam Bankman-Fried. Alameda served as the primary market maker for FTX, managing liquidity through the buying and selling of cryptocurrencies.

Financial entanglements between the two companies, featuring loans by FTX to Alameda, have raised concerns about conflicts of interest and possible mishandling of customer funds. In March 2024, Bankman-Fried was found guilty on seven counts of fraud and conspiracy and sentenced to 25 years in prison. Last month, Ellison sentenced to two years in prison Her role in the FTX collapse cost users billions of dollars.

Singh’s lawyers argued that the court distinguished Ellison’s actions from Bankman-Fried’s and acknowledged her extensive cooperation, but “partly demonstrated that cooperation cannot be a ‘get out of jail free card’ given the severity of her actions.” “I imposed a period of imprisonment to give it to you,” he said. .”

“The message is unnecessary to form a proper sentence for Nishad. Nishad’s situation is different because, among other things, his role in the crimes charged is much more limited,” his lawyer also said.

Singh is scheduled to be sentenced on October 30.

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adminOctober 17, 2024