Sam Bank-Fried seeks Supreme Court review to overturn FTX conviction and 25-year sentence

Core Points

Sam Bankman-Fried (SBF) seeks a review of his conviction and 25-year sentence by the Supreme Court. SBF disputed evidence proving customer losses and challenged the $11 billion forfeiture order. After Trump said he would not grant a pardon, his pardon application is still pending.

Sam Bank-Fried has asked the Supreme Court to overturn his FTX fraud conviction and the ensuing 25-year prison term. His petition challenges the handling of customer losses at trial and disputes an $11 billion asset forfeiture order. The request came after an appeal failed and he was also applying for a presidential pardon.

According to the New York Times, the petition argued that the trial court prohibited him from providing evidence about the repayment of funds. His lawyers argued that FTX always had enough assets to repay customers, including interest. The prosecutor believes that the misappropriation of client funds constitutes fraud regardless of whether the funds are ultimately recovered or not.

SBF disputes evidence of customer loss

The focus of the controversy is what evidence of financial damage the jury could hear during the Manhattan trial. SBF believes that the prosecution introduced conclusive evidence of customer losses, while the court limited the evidence supporting his position. His petition raises a key question: Can the court allow one party's evidence while excluding the other party's evidence?

The argument cited a 2025 Supreme Court unanimous ruling involving a bridge painting contractor. The contractor was awarded the work contract by falsely claiming to meet lower-level business requirements. Although the project was completed, the Supreme Court rejected its argument that telecom fraud required an intention to cause financial harm.

FTX's petition acknowledged the ruling, but raised another independent issue about the admissibility of evidence. It maintains that when prosecutors introduce evidence showing loss, defendants should be allowed to present evidence rebutting the existence of loss. Supreme Court lawyer Jeffrey Fisher told CNN that such restrictions could put defendants at a disadvantage.

However, the Justice Department described the behavior as embezzling billions of dollars in funds belonging to FTX customers. Prosecutors also determined $1.7 billion in investor fraud and $1.3 billion in fraud involving Alameda Research lenders. These amounts involve different groups, making the case beyond the scope of the customer's deposit and its ultimate repayment.

FTX repayments and forfeiture face separate review

Customer repayments are made through FTX's bankruptcy plan, which uses November 2022 prices to calculate claims in dollar values. At the time, Bitcoin was trading for approximately US$16,000. Therefore, these historical dollar values are used in the repayment framework when determining the claim.

In addition to challenging the evidence, Sam Bank-Fried also disputed the $11 billion confiscation order imposed in his case. His lawyers argued that the amount violated the Eighth Amendment's prohibition of excessive fines. As a result, the petition challenges both the handling of evidence at trial and the financial consequences of his conviction.

The Second Circuit Court of Appeals upheld the conviction in June, rejecting previous arguments before filing a petition to the Supreme Court. The judges did not say they would hear the case. The court said that only about 1% of cases accepted for each term will be granted a hearing.

SBF News: Amnesty application still pending

In addition, Sam Bank-Fried applied for pardon from President Donald Trump in June this year. The Office of Pardon Lawyers listed the request pending. Its category is designated as pardon after serving his sentence, although he still faces more than two decades in prison.

Trump said in January that he would not consider a pardon. The Senate later voted unanimously against the amnesty in July. As SBF continues to assert its innocence, these developments occur in parallel with legal challenges.

Bank-Fried founded FTX in 2019, and the exchange was valued at US$32 billion before collapsing in November 2022. Authorities arrested him in Bahamas in December of the same year. A Manhattan jury found him guilty the following year, and he withdrew another new motion this year.