Ryan Salame, the former co-CEO of FTX Digital Markets, appeared in U.S. District Court on Thursday, September 12, as Judge Lewis A. Kaplan revisited his previously withdrawn guilty plea. The court session focused on the unraveling of Salame’s initial plea deal, which has reignited attention on his alleged involvement in multiple criminal activities.
Revisiting Ryan Salame’s Guilty Plea
In August, Salame’s legal team filed a motion to void his guilty plea, accusing U.S. authorities of breaching their agreement. Initially, Salame had pleaded guilty to charges related to money transmitting, in exchange for halting an investigation into his partner, Michelle Bond, a former SEC lawyer. Bond was later indicted for campaign finance violations linked to her unsuccessful 2022 congressional campaign.
Just one day after Salame moved to vacate his plea, a four-count indictment against Bond was unsealed. However, within days, Salame retracted his motion to void the plea, prompting Judge Kaplan to question the reasoning behind Salame’s change of heart.
In response, prosecutors filed a 32-page memo disputing Salame’s claims and defending their actions.
Bribery Allegations Add Pressure to Salame’s Legal Troubles
Salame’s situation has worsened with new allegations linking him to a bribery scheme involving Chinese officials. Prosecutors claim that in 2021, Salame was part of a $150 million bribery plan to unfreeze $1 billion in crypto assets held by the exchanges Huobi and OKX. The scheme, reportedly tied to Alameda Research, was aimed at regaining access to these frozen assets by bribing Chinese authorities.
These fresh allegations have placed Salame in an even more precarious legal position, intensifying the scrutiny surrounding his case.
Salame Faces Stricter Penalties and Health Complications
Although Salame retracted his guilty plea, he remains under strict bail conditions enforced by Judge Kaplan, including mandatory attendance at all court hearings. In May, Judge Kaplan imposed a harsher sentence than the 5-7 years initially recommended by prosecutors, reflecting the severity of the charges against Salame.
Salame’s legal team recently sought a delay in his sentencing after he suffered a dog bite from a German Shepherd during a visit to a friend’s house. The injury required immediate surgery and led to the postponement of his surrender date from August 29 to October 13, allowing him time to recover.
With bribery charges linked to Alameda Research and Judge Kaplan demanding further clarity on his withdrawn plea, Salame’s legal troubles appear far from over, presenting significant challenges for his defense team moving forward.