Inside Sam Bankman-Fried’s Frauds Trial: Judge Kaplan’s Role and Witty Insights
Sam Bankman-Fried’s ongoing fraud trial has delved into complex subjects like computer code, cryptocurrency, and corporate finance. Yet, U.S. District Judge Lewis Kaplan, known for his dry sense of humor, has occasionally injected moments of levity into the proceedings. At 78 years old, Judge Kaplan, a senior judge in Manhattan federal court appointed by Bill Clinton, has managed this high-profile case while simultaneously overseeing other significant trials. Earlier this year, he presided over a civil trial where a jury found former President Donald Trump guilty of sexual abuse and defamation, ordering him to pay $5 million to writer E. Jean Carroll. In the prior year, he handled a civil trial in which actor Kevin Spacey successfully defended against a sexual abuse claim.
Bankman-Fried faces two counts of fraud and five counts of conspiracy related to allegations of embezzling billions from customers of his cryptocurrency exchange, FTX. While Judge Kaplan is known for his no-nonsense demeanor, he has sprinkled Bankman-Fried’s trial with witty comebacks and occasional self-deprecating humor. For instance, when a prospective juror expressed confusion about cryptocurrency, Judge Kaplan quipped, “You probably have a lot of company in this courtroom.” In response to another juror mentioning slight hearing loss, he humorously remarked, “You’re not the only one here with slight hearing loss, at my age.”
However, it’s crucial to note that while the jury will determine Bankman-Fried’s guilt or innocence, Judge Kaplan holds the final say over the permissible arguments and lines of questioning for the lawyers. Should Bankman-Fried be convicted, the judge would also be responsible for sentencing.
During the initial days of testimony, Judge Kaplan repeatedly urged defense attorneys to expedite their questioning, particularly when he felt they were covering the same ground. Frustrated with repeated questioning of a prosecution witness about an investment decision, Judge Kaplan once called the lawyers to the bench and stated, “You’ve been over this already six ways to Sunday, and you got your answer. The goal here is not to set a record for the longest trial.”
Before the trial commenced, Judge Kaplan made several critical rulings against the defense, including the exclusion of some proposed expert witnesses and the prohibition of specific trial arguments. However, one of his most significant decisions was the revocation of Bankman-Fried’s bail on August 11. This decision came after the judge found evidence of tampering with witnesses, including sharing private writings of his former colleague and ex-girlfriend, Caroline Ellison, with a reporter. Explaining his decision to incarcerate Bankman-Fried, Judge Kaplan stated, “He has already – without violating any other bail condition save that he not commit another crime – gone up to the line over and over again.”
