The judge did not provide a reason for denying the motion “without prejudice” but added the matter would face oral argument in a Feb. 9 hearing.
A federal judge denied a collaborative agreement among Rob Bankman-Fried legal team inspectors that would allow the former FTX chief executive to use some information applications.
In a document filed with the United States District Court for the Southern District of New York City on Feb. 7, Judge Lewis Kaplan rejected a motion to allow Bankman-Fry to use instant messaging software including FaceTime, Zoom and Facebook Messenger. The judge did not provide reasons for rejecting the motion, but added that the matter would be debated verbally at a hearing on February 9.
Prosecutors filed a motion in January proposing that the former FTX chief executive not allow "all data encryption or short-term phone or messaging applications" as a condition for bail after being accused of touching witnesses. Judge Kaplan ruled on February 1st that SBF was banned from contacting FTX and Alameda employees with the Signal app because it could "engage in inappropriate contact with potential witnesses".
However, federal prosecutors discussed with lawyer Bankman-Fried about changing the conditions of bail, which would allow him to browse FaceTime, Zoom, iMessage, SMS, email and Facebook Messenger. The former FTX chief executive will also allow him to use WhatsApp, provided that "his phone is equipped with monitoring technology that automatically records and retains all WhatsApp communications".
The government claims that, based on communications found between SBF and Ryan Steiger, FTX's general counsel for foreign countries, and Robert Ray, FTX's current chief executive, Bankman-Fry tried to harm witnesses. The Feb. 1 ruling does not allow SBF to communicate with current or ex-boyfriend employees of FTX or Alameda Research "unless you have a mentor present".
Bankman-Fried was arrested in December and charged with eight criminal cases, including telecom network fraud on the South side of New York City. Its trial is scheduled for October, while FTX's bankruptcy case is already under way in Delaware. SBF is still being held at his parents' home in California and can only leave with permission, including appearing in court.