DOJ Grounds Sam Bankman-Fried As $28 Million Jets Seized

• Authorities confiscate two of SBF’s private jets amid his ongoing trial.
• SBF acquired the Bombardier Global 5000 and an Embraer Legacy 600 in a ‘handshake deal.’ 
• Controversy arises over the jets’ ownership following FTX’s bankruptcy filing.

In a dramatic turn of events amidst Sam Bankman-Fried’s trial, the U.S. authorities have taken action to ensure the crypto magnate remains grounded. Two of his private jets, with a combined worth exceeding $28 million, have been seized, casting a spotlight on the intricate financial dealings of FTX and its founder.

The Controversial “Handshake” Loan

On Friday, October 5, as the trial of Sam Bankman-Fried (SBF) entered its third day, the U.S. District Court for the Southern District of New York confirmed the confiscation of two of his private jets. The first, a Bombardier Global 5000, boasts a value of $15.9 million. 

Earlier, prosecutors have shed light on acquiring these jets, alleging that they were purchased through a “handshake” loan from FTX to a Bahamian company, amounting to the entire $28 million. Despite the hefty price tag, SBF claimed he never used them for personal travel.

SBF’s ‘Modest’ Jets

Completed in 2009, this large business jet can accommodate 13 passengers and has a range close to the distance between New York City and Tokyo. The second jet, an Embraer Legacy 600, is valued at approximately $12.5 million and can cover the distance between New York City and Rome. 

The Bombardier Global 5000 is known for its potential lavish amenities, including a movie theater and bedroom. However, the SBF’s model was relatively “modest,” featuring just a wardrobe and storage cabinet. On the other hand, the smaller Embraer Legacy 600 can be equipped with a kitchen, including a microwave, oven, and refrigerator. 

On the Flipside

Despite his vast wealth, Sam Bankman-Fried (SBF) often portrayed an image of asceticism. This included parading his beat-down Toyota Carolla in front of journalists. 

SBF continues to go to great lengths to manage his public image. The disgraced tech Moghul donned a suit and a new haircut, potentially to present as more serious and trustworthy.   

Why This Matters

The public image and personal branding of influential figures in the crypto industry, like SBF, play a significant role in shaping public perception and trust.

Read more about SBF and his role in the FTX collapse:
Sam Bankman-Fried: Crypto’s Fallen Hero?
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