Former FTX Digital Markets co-CEO, Ryan Salame, who admitted guilt to two felony counts, is set to be sentenced in a New York court on May 1st.
According to court records released on February 23rd by the United States District Court for the Southern District of New York, Salame will appear before Judge Lewis Kaplan to face sentencing in relation to his involvement in fraud at the now-defunct cryptocurrency exchange, FTX. In September 2023, Salame pleaded guilty to one count of making illegal political contributions and one count of conspiracy to operate an unlicensed money-transmitting business.
Salame was charged alongside former FTX CEO, Sam “SBF” Bankman-Fried, former Alameda Research CEO Caroline Ellison, FTX co-founder Gary Wang, and former FTX engineering director Nishad Singh. In court, Salame confessed to making $10 million in political contributions, referring to them as loans that he never intended to repay.
The charges also revolved around Salame’s donations to his then-girlfriend, Michelle Bond’s, 2022 congressional campaign. Reports indicated that he also made campaign contributions on behalf of a corporation, which violated US law. Following his sentencing, Salame could face several years in prison, although the US Attorney’s Office has reportedly suggested probation instead of incarceration.
Bankman-Fried’s sentencing in New York is scheduled for March 28th, after being convicted on seven felony counts in November 2023. On February 19th, crypto reporter Tiffany Fong shared a photo of the former FTX CEO in jail, providing a rare glimpse into his life since his conviction.
None of the five crypto executives involved in the downfall of FTX have been sentenced yet, as prosecutors have been pursuing criminal charges since November 2022. Ellison, Wang, Singh, and Salame all pleaded guilty and reached agreements, while Bankman-Fried opted for a trial.
Salame was the only one who didn’t testify against Bankman-Fried during the trial. His plea agreement reportedly included approximately $6 million in penalties to the US government, $5 million in reimbursements to FTX creditors, and the forfeiture of two properties in Massachusetts and a Porsche. At the time of writing, Salame remained free on a $1 million bond until his sentencing.
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