Sam Bankman-Fried’s legal team plans to present an expert witness to counter testimonies from former Alameda Research CEO Caroline Ellison and other witnesses regarding the financial ties between FTX and the trading firm. In a letter to New York District Judge Lewis Kaplan, Bankman-Fried’s attorneys stated that Joseph Pimbley from litigation consulting firm PF2 Securities would testify on behalf of the former FTX CEO.
According to the letter, Pimbley’s testimony will be based on FTX database information and will establish a definitive timeline for Alameda’s line of credit with FTX, showing that it fluctuated between approximately $1 billion and $3 billion between October 2021 and September 2022. Pimbley will also provide context to testimony made by former FTX executives, revealing that the majority of non-FTX and non-Alameda user balances are in United States dollars, Bitcoin (BTC), Ether (ETH), and Tether (USDT), and that over 75% of these balances arise from accounts with spot margin enabled, spot margin lending enabled, or show futures activity.
Pimbley’s testimony intends to counter Ellison’s claim that Alameda had an unlimited line of credit on FTX and Wang’s statement that the firm had borrowed around $3 billion from the credit line. To support his testimony, Pimbley has presented a disclosure containing various charts, spreadsheet excerpts, diagrams, and database queries pulled from FTX’s Amazon Web Services database.
It should be noted that Pimbley is being remunerated at a rate of $720 an hour plus expenses for his work. However, he has clarified that he has no financial interest in the outcome of the case. Earlier, Bankman-Fried’s legal team had put forward seven expert witnesses, but Judge Kaplan barred them from testifying. However, he allowed future testimony if they were to respond to government witness testimony and clarify their claims.
These developments are part of the ongoing legal proceedings involving FTX and Sam Bankman-Fried. It is important to link to credible sources directly within the text to provide readers with access to more information and ensure transparency in reporting.
❗Follow us on Twitter to get all the latest crypto news as soon as they're out! 🚀