Nishad Singh, a former executive of FTX, was spared prison time following his conviction by a federal magistrate in Manhattan, where Singh has been sentenced to three years of supervised release for his involvement in the collapse of FTX
Singh was spared from imprisonment by the Manhattan federal magistrate, as per NBC News. Rather, he was sentenced to three years of supervised release and time served. Additionally, he was required to forfeit approximately $11 billion.
On October 29, Singh was sentenced by Judge Lewis A. Kaplan in federal court in New York. Singh’s “remarkable” cooperation with the government and his limited involvement in one of the largest financial frauds in U.S. history were the reasons for the lenient sentence, according to Kaplan.
The consequence of Singh’s sentence was precisely what his attorneys had requested in a memo that was submitted to the judge on October 16.
The prosecutors for Singh contended that the former head of engineering at FTX merited a lenient sentence because of Singh’s limited involvement in FTX’s collapse and his dedication to leading an exemplary life.
Singh provided testimony against former CEO Sam Bankman-Fried as part of his cooperation agreement with the government last year.
Singh pleaded guilty to six to six criminal offenses earlier this year, including conspiracy to commit securities fraud, conspiracy to commit money laundering, and conspiracy to violate campaign finance laws.
He was subject to a maximum sentence of up to 75 years in prison for his involvement in FTX’s multibillion-dollar fraud.
Singh is the inaugural former executive of FTX to be granted immunity from imprisonment for his involvement. Additionally, he is the fourth former executive of FTX to be sanctioned for his involvement in the crypto exchange’s collapse.
Former CEO of Alameda Research Caroline Ellison, former CEO of FTX Digital Markets Ryan Salame, and Sam Bankman-Fried are the other three FTX executives.
Ellison was sentenced to two years in prison, while Bankman-Fried was sentenced to 25 years. Salame began serving a 7.5-year prison sentence earlier this month. Gary Wang, the co-founder of FTX, is scheduled to be sentenced on November 20.
