Ellison, Wang and Singh will likely get no or very little prison time for their testimony, several criminal defense lawyers who’ve followed the case said. That compares to the decades in prison Bankman-Fried possibly faces when he’s sentenced in March.
If they do get some jail time, it will likely be relatively short, and there’s a good chance they’ll serve it at a minimum security camp holding only non-violent offenders, said Justin Paperny, a former UBS Group AG broker who previously served 18 months for fraud.
But even if they avoid jail, Ellison, Wang and Singh are likely to face other forms of punishment. The government could force the three to return money they made from fraud and pay restitution to their victims. Given that the government says FTX customers lost billions, that could be a substantial burden. Fastow was ordered to surrender $20 million over his role in Enron’s $60 billion collapse.
‘Enforcement 40’ for 2020
Join Us On LinkedIn
Join the Securities Litigation and Enforcement Group on LinkedIn