Former Alameda Research CEO, Sam Trabucco, has come forward to defend FTX executive, Ryan Salame, ahead of his upcoming sentencing. In a character reference submitted to the court on May 14, Trabucco described Salame as a multifaceted individual who should not be judged solely based on his past actions.
Trabucco acknowledged that Salame has committed crimes and is prepared to face the consequences. However, he expressed his hope that Salame would receive a fair sentence considering his contributions to the crypto industry and his reputation as a sought-after employee.
Salame, who has requested a sentence of eighteen months in prison, pleaded guilty to charges of conspiracy to operate an unlicensed money transmitting license and conspiracy to make unlawful political contributions in September 2023. While Salame distanced himself from the fraudulent activities of the crypto exchange, his lawyers argue that he had limited knowledge of the $8 billion fraud scheme orchestrated by Sam Bankman-Fried.
The unlawful political contributions charge against Salame is related to over 300 secret donations made by Bankman-Fried, with the participation of Salame and the company’s Head of Engineering, Nishad Singh. These donations, funded largely by FTX customers’ money, were allegedly used to gain influence with pro-crypto politicians.
Bankman-Fried, who is currently serving a 25-year prison sentence, was accused by prosecutors of building a pyramid of deceit and causing significant financial harm to investors.
Salame’s sentencing is scheduled for May 28 at Manhattan federal court, where he could potentially face a maximum sentence of 10 years in prison.