Former Alameda Analysis CEO Caroline Ellison’s Attorneys Search Leniency Forward of Sentencing

In line with a late Tuesday submitting from her legal professionals, Caroline Ellison, the previous CEO of Alameda Analysis, ought to be sentenced to time served and supervised launch.

The request comes forward of her scheduled sentencing on September 24, 2024, for her involvement within the collapse of the cryptocurrency change FTX.

Extraordinary Cooperation

Within the Tuesday submitting, her authorized workforce emphasised Ellison’s “extraordinary cooperation with the government,” which they are saying justifies leniency in sentencing. Additionally they referenced a presentence report from the Probation Division that recommends three years of supervised launch and no fines.

“[Ellison] poses no risk of recidivism and presents no threat to public safety. It would, therefore, promote respect for the law to grant leniency in recognition of [Ellison’s] early disclosure of the crimes, her unmitigated acceptance of responsibility for them, and – most importantly – her extensive cooperation with the government,” acknowledged the submitting.

John J. Ray III, the CEO overseeing the FTX chapter proceedings, highlighted her ‘valuable’ position in aiding his workforce as they labored to take management of the failing change.

Ray’s submission indicated that the FTX chapter property was nearing a settlement with Ellison, beneath which she would forfeit almost all of her remaining belongings and proceed to assist efforts to restructure the change and its affiliated entities.

Attorneys main class motion lawsuits in opposition to former FTX executives have additionally credited her with offering important help in recovering funds for the change’s collectors. Robert Cleary, a court-appointed examiner within the case, additionally famous that she had been useful all through the method.

Her attorneys supported their request with diary entries, statements about her cooperation with FTX’s chapter property, and character references from colleagues, pals, and household.

Whereas some names in these letters have been redacted because of issues of harassment or doxing, Internal Metropolis Press has requested a listening to to argue that they need to be proven. The authorized workforce, nonetheless, maintains that the redaction is critical to guard the writers from potential hurt.

Caroline’s Sentencing Date

Ellison, a key affiliate of FTX founder Sam Bankman-Fried, testified final 12 months that he instructed her to commit fraud and conceal the monetary troubles of FTX and Alameda from buyers.

Her testimony contributed to Bankman-Fried’s conviction on seven counts of fraud and conspiracy. After FTX’s collapse in November 2022, she pleaded responsible and cooperated with prosecutors.

Her sentencing, set for September 24 at 3:00 p.m. EDT, will make her the third main determine within the FTX scandal to face judgment, following these for Ryan Salame and Bankman-Fried of seven.5 and 25 years, respectively.