Ex-FTX executive challenges plea deal over prosecutor misconduct

Ryan Salame, a former executive at the defunct cryptocurrency exchange FTX (CRYPTO:FTT), has filed a motion to challenge his plea deal with U.S. authorities.

Salame had previously pleaded guilty to charges related to campaign finance and money-transmitting offenses.

However, he is now seeking to invalidate this guilty plea, claiming that prosecutors have breached a key aspect of the agreement.

According to CNBC, Salame's defense team argues that the Manhattan U.S. Attorney's Office had promised to halt an investigation into Salame’s domestic partner, Michelle Bond, if he entered a guilty plea.

This assurance was intended to protect Bond from legal repercussions.

Despite this promise, recent reports indicate that the investigation into Bond has resumed, with the government actively pursuing an indictment against her.

Salame’s legal team has requested judicial intervention to address what they view as a breach of trust by the prosecutors.

Salame, who is scheduled to begin serving a 7.5-year prison sentence on October 13, 2024, also faces financial penalties exceeding $11 million in forfeiture and restitution.

The legal battle has intensified as Salame contests the alleged misconduct by the prosecution.

The U.S. Attorney’s Office has declined to comment on the matter.

In a social media post, Salame expressed his concerns about facing formidable legal opponents and his hope that his actions will encourage honesty and transparency in the justice system.

His filing also brings attention to other figures in the ongoing FTX case, including Sam Bankman-Fried, who was recently sentenced to 25 years in prison for fraud and conspiracy.

Additional key witnesses such as Caroline Ellison, Nishad Singh, and Gary Wang are also involved, with their sentencing dates still pending.

At the time of reporting, the FTX (FTT) price was $1.47.