Who is behind the deposit payments for SBF?

The presiding judge in the Sam Bankman-Fried (SBF) criminal case has ordered the names of the bailiffs for the ex-CEO of crypto exchange FTX to be released. Out of court documents reveals that Andreas Paepcke deposited $200,000 and Larry Kramer deposited $500,000.

Both bailiffs worked at the prestigious Stanford University, which also employs Bankman-Fried’s parents. Kramer was the dean at Stanford Law School. Paepcke serves as senior researcher and director of data analysis in support of online teaching activities at Stanford University and is applicable as a close family friend.

Parental home deposited by SBF as security

Paepcke and Kramer are by no means the only ones who vouch for the historically high bail sum of 250 million US dollars. The house of the parents of the 30-year-old accused is also part of the collateral. Exactly the house in which Sam Bankman-Fried should stay according to his bail conditions: He can only leave the villa in Palo Alto for court dates or similar meetings related to the process.

After the former head of crypto exchange FTX pleaded not guilty last January, he is awaiting his main trial there. Eight charges were brought against the 30-year-old in December. These include wire fraud and campaign finance violations.

Deposit payment common practice in the US

The bail system in the United States differs in some respects from the laws in Germany. In both cases, if bail is paid, the accused can be released from detention until the main hearing. In contrast to Germany, where a suspect remains at large until there is a reason for detention, in the USA a suspect is arrested immediately. In Germany, this only happens if pre-trial detention is ordered. In this respect, a bail is much more common in the USA.

As in Germany, the purpose of posting bail is to ensure that the suspect complies with his bail conditions and appears at the court hearings. If this is the case, the amounts paid will be returned to the bailiffs, regardless of the court ruling. The amount of the deposit is determined by the court and, according to the legal text, must not be “disproportionate”. In Bankman-Fried’s case, the court found $250 million appropriate.