Ex-FTX exec Nishad Singh seeks leniency for minor role in collapse

Former FTX executive Nishad Singh is asking a US federal judge for leniency ahead of his sentencing for his role in the exchange’s collapse.

In a memorandum filed on Oct. 16, Singh’s legal team emphasized his cooperation with authorities and the limited nature of his involvement, requesting a reduced sentence.

The attorneys highlighted his swift response to the investigation and his actions upon recognizing the extent of FTX’s misconduct. The defense argued that Singh’s participation in the events leading to the company’s downfall was relatively minor compared to other top executives.

The defense team wrote:

“His circumstances are extraordinary in every way that matters to sentencing: his personal history and characteristics, his role in the charged offenses, the speed with which he cooperated, his response to the collapse of FTX, and how he has rebuilt his life since then.”

Singh is one of several former FTX executives who admitted guilt following the company’s implosion, which led to billions in investor losses.

Singh is among a group of FTX leaders facing sentencing for their roles in the scandal, including FTX co-founder Gary Wang who is also awaiting his sentencing. Meanwhile, Ryan Salame was sentenced to 7.5 years in prison earlier this year and is set to begin his sentence soon.

Caroline Ellison, former CEO of Alameda Research, who also cooperated with authorities, received a two-year sentence in September for her involvement in FTX’s fraudulent activity.

Sam Bankman-Fried, the former CEO of FTX, was sentenced to 25 years in prison for orchestrating the multi-billion dollar fraud that led to the exchange’s collapse, leaving thousands of investors without their funds.

SBF recently filed an appeal to overturn his 25-year prison sentence. His legal team argued that his trial was marred by judicial bias and procedural errors.

The appeal claims that US District Judge Lewis Kaplan made prejudicial remarks during the trial, creating an unfair environment for the defense. Additionally, the defense criticized Kaplan’s restriction of key defense arguments, including SBF’s ability to testify on his reliance on legal advice for certain business decisions.

SBF’s legal team further argued that the jury was only presented with a partial narrative, which suggested that customer funds were permanently lost. They claim that evidence showing the potential recovery of funds through bankruptcy proceedings was improperly excluded.

As SBF’s appeal progresses through the courts, it remains uncertain whether he will secure a new trial or continue serving his sentence, while Singh’s sentencing is expected to unfold in the coming months.

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