Federal prosecutors in the ongoing fraud trial of ex-FTX CEO Sam Bankman-Fried have requested that the judge exclude any discussion of Bankman-Fried’s investment in Anthropic, an AI company.
This request comes in light of recent media reports about Anthropic’s fundraises from tech giants Google and Amazon, potentially benefiting victims of the FTX collapse.
Creditors Optimistic Over Anthropic’s Investment
Recent reports have indicated that Anthropic is set to receive billions in funding from Google shortly after announcing a similar investment from Amazon. The news has ignited optimism among creditors of FTX, as Sam Bankman-Fried was a notable investor in the company.
Creditors hope that Anthropic’s newfound wealth, partly due to these investments, could aid FTX collapse victims’ financial recovery. However, while creditors celebrate this development, it has raised concerns in the courtroom.
According to a motion by Assistant U.S. Attorney Thane Rehn on Oct. 8, Sam Bankman-Fried has been barred from bringing up Anthropic during his ongoing fraud trial. Citing a prior ruling by Judge Lewis A. Kaplan, Rehn argued that such evidence would be “wholly irrelevant” to the case and could introduce “substantial danger of unfair prejudice, confusing the issues, misleading the jury, undue delay, and waste of time.”
Prosecutors Move to Exclude Anthropic
Prosecutors believe presenting the current value of FTX’s investment in Anthropic is unnecessary in court. They argue that this information is irrelevant to the case and could support the defense’s argument, which the court has already rejected, that victims will be compensated, a point the judge has previously ruled out.
This argument is supported by a precedent set in a similar case. The Court granted the government’s uncontested plea to restrict the defense from discussing the recovered assets in the FTX bankruptcy . The objective was to prevent any insinuation to the jury that the victims would receive complete compensation.
In light of these developments, the prosecution is seeking to stop the presentation of Anthropic’s investment value in the trial to prevent any potential for undue prejudice, confusion, or waste of time.
