Nearly three years after the FTX exchange’s collapse, legal proceedings involving its former executives continue to unfold. This week, Michelle Bond, the wife of former FTX Digital Markets co-CEO Ryan Salame, is scheduled to appear for an evidentiary hearing in her ongoing criminal case at the U.S. District Court for the Southern District of New York.
In a recent court filing, Bond’s legal team requested that she be permitted to testify despite objections from prosecutors. The prosecutors argued that her testimony was unlikely to be relevant to the case concerning Salame’s plea agreement, which involves allegations of campaign finance fraud. Salame is currently serving time for his role in FTX’s downfall, convicted of conspiracy related to illegal political contributions and unlicensed money transmission.
The core of the dispute revolves around Salame’s plea deal, where prosecutors allege that he directed $400,000 of FTX funds to Bond’s political campaign. Bond has pleaded not guilty to multiple charges, including conspiracy to make unlawful campaign contributions and receiving a conduit contribution illegally. Her attorneys counter that her testimony is vital for understanding her and her husband’s state of mind when entering into their respective plea agreements.
Salame, charged along with other former FTX executives, pleaded guilty to several crimes, including conspiracy and fraud related to political contributions, and has been sentenced to seven-and-a-half years in prison. Following his guilty plea, his lawyers sought to modify his plea agreement, claiming it was contingent on not pursuing charges against Bond. However, the matter was eventually dropped, with Bond set to address it in her case.
The upcoming hearing—scheduled for Thursday—will be the first significant court appearance for Bond in months, centered around her involvement in the case. Her legal team has also requested that former Assistant U.S. Attorney Danielle Sassoon testify. Sassoon led the prosecution against former FTX CEO Sam Bankman-Fried and others, including Salame, until her resignation earlier this year. Bond’s attorneys are keen to explore whether any promises or inducements were made to Salame to influence his plea, a matter that could impact the proceedings significantly.
While the U.S. attorneys have expressed no opposition to Sassoon’s testimony, they have requested additional documentation or evidence related to the plea agreement. This case continues to highlight concerns over crypto regulations, campaign finance violations, and the broader criminal investigations surrounding the collapse of the crypto exchange industry.
