CBS News
Sam Bankman-Fried deserves 40 to 50 years in prison for “historic” cryptocurrency fraud, prosecutors say
Federal prosecutors asked a New York judge on Friday to sentence FTX founder Sam Bankman-Fried to between 40 and 50 years in prison for cryptocurrency crimes they described as a “historic fraud.”
Prosecutors made the request as they submitted their presentence recommendations to a federal judge who will sentence the man who at one time dazzled the cryptocurrency world with his promotional skills, including his access to famous people willing to promote his businesses.
Bankman-Fried, 32, is scheduled to be sentenced in Manhattan federal court on March 28 following his November conviction on fraud and conspiracy charges.
Prosecutors say he cost customers and investors in FTX and its related companies at least $10 billion from 2017 through 2022.
He was extradited to the United States in December 2022 from the Bahamas after his companies collapsed a month earlier. Originally permitted to remain at home with his parents in Palo Alto, California, he was jailed last year weeks before his trial after Judge Lewis A. Kaplan concluded that he had tried to tamper with trial witnesses.
In their presentence submission, prosecutors described Bankman-Fried’s crimes as “one of the largest financial frauds in history, and what is likely the largest fraud in the last decade.”
“The defendant victimized tens of thousands of people and companies, across several continents, over a period of multiple years. He stole money from customers who entrusted it to him; he lied to investors; he sent fabricated documents to lenders; he pumped millions of dollars in illegal donations into our political system; and he bribed foreign officials. Each of these crimes is worthy of a lengthy sentence,” they wrote.
Prosecutors invoke Bankman-Fried’s political donations, bribes
They said his “unlawful political donations to over 300 politicians and political action groups, amounting to in excess of $100 million, is believed to be the largest-ever campaign finance offense.”
And they said his $150 million in bribes to Chinese government officials was one of the single largest by an individual.
“Even following FTX’s bankruptcy and his subsequent arrest, Bankman-Fried shirked responsibility, deflected blame to market events and other individuals, attempted to tamper with witnesses, and lied repeatedly under oath,” prosecutors said, citing his testimony at trial.
FTX’s bankruptcy in November of 2022 cast a cloud over the entire crypto industry, as the sudden collapse of other major industry players vaporized billions in client wealth.
“So many people believed in him, he was a genius,” Natalie Tien, a former FTX employee, told CBS News last year.
Tien said attending the trial of her former boss was cathartic after experiencing months of confusion and depression when his empire collapsed and she too “lost a lot of money.”
Bankman-Fried’s lawyers attacked previous sentence recommendation
Two weeks ago, Bankman-Fried’s lawyers attacked a probation office recommendation that their client serve 100 years in prison, saying a sentence of that length would be “grotesque” and “barbaric.”
They urged the judge to sentence Bankman-Fried to just a few years behind bars after calculating federal sentencing guidelines to recommend a term of five to 6 1/2 years in prison.
They cited their client’s medical conditions, which include autism, as well as his goals to improve the world through his now-defunct crypto exchange, according to the Wall Street Journal.
“Sam is not the ‘evil genius’ depicted in the media or the greedy villain described at trial,” his lawyers wrote. “Sam is a 31-year-old, first-time, nonviolent offender, who was joined in the conduct at issue by at least four other culpable individuals, in a matter where victims are poised to recover —were always poised to recover— a hundred cents on the dollar.”
CBS News
Suspect detained in killing of Gen. Igor Kirillov, head of Russia’s biological, chemical forces in Moscow blast
Moscow — Russia’s security service said Wednesday that it has detained a suspect in the killing of a senior general in Moscow.
The suspect was described as an Uzbek citizen recruited by Ukrainian intelligence services.
Russia’s Federal Security Service, or FSB, didn’t name the suspect, but said he was born in 1995. According to an FSB statement, the suspect said he was recruited by Ukrainian special services.
Ukrainian security sources had told CBS News Monday that the Security Service of Ukraine (SBU) killed Kirillov in a special operation. The claim couldn’t be independently verified, but Russian officials quickly vowed to take revenge against Ukraine’s leaders.
Lt. Gen. Igor Kirillov was killed Tuesday by a bomb hidden in a scooter outside his apartment building in Moscow, a day after Ukraine’s security service leveled criminal charges against him. His assistant also died in the attack. A Ukrainian official said the service carried out the attack.
The FSB said the suspect had been promised a reward of $100,000 and permission to move to a European Union country in exchange for killing Kirillov.
The agency stated that, acting on instructions from Ukraine, the suspect traveled to Moscow, where he picked up a homemade explosive device. He then placed the device on an electric scooter and parked it at the entrance to the residential building where Kirillov lived.
The suspect then rented a car to monitor the location and set up a camera that livestreamed footage from the scene to his handlers in the central Ukrainian city of Dnipro. Once Kirillov was seen leaving the building, the suspect detonated the bomb.
According to the FSB’s statement, the suspect faces “a sentence of up to life imprisonment.”
Kirillov, 54, was the chief of the military’s nuclear, biological and chemical protection forces and was under sanctions from several countries, including the U.K. and Canada, for his actions in Moscow’s military operation in Ukraine. On Monday, Ukraine’s Security Service, or SBU, opened a criminal investigation against him, accusing him of directing the use of banned chemical weapons.
Russia has denied using any chemical weapons in Ukraine and, in turn, has accused Kyiv of using toxic agents in combat.
Kirillov, who took his current job in 2017, was one of the most high-profile figures to level those accusations. He held numerous briefings to accuse the Ukrainian military of using toxic agents and planning to launch attacks with radioactive substances – claims that Ukraine and its Western allies rejected as propaganda.
The bomb used in Tuesday’s attack was triggered remotely, according to Russian news reports. Images from the scene showed shattered windows and scorched brickwork.
Russia’s top state investigative agency said it’s looking into Kirillov’s death as a case of terrorism, and officials in Moscow vowed to punish Ukraine.
CBS News
Indiana conducts first execution in 15 years, puts quadruple killer to death
Michigan City, Indiana — An Indiana man convicted of killing four people including his brother and his sister’s fiancé decades ago was put to death Wednesday, without any independent witness, marking the state’s first execution in 15 years.
Joseph Corcoran, 49, was pronounced dead at 12:44 a.m. CST at the Indiana State Prison in Michigan City, Indiana, the Indiana Department of Correction said in a statement. CBS Indianapolis affiliate WTTV reports that officials said the execution process started just after midnight.
Corcoran was scheduled to be executed with the powerful sedative pentobarbital, but the state agency’s statement did not mention that drug. Corcoran’s execution was the 24th in the U.S. this year.
According to WTTV, the statement said Corcoran told officials his last words were, “Not really. Let’s get this over with.”
He was convicted in the July 1997 shootings of his brother, 30-year-old James Corcoran, his sister’s fiancé, 32-year-old Robert Scott Turner, and two other men, Timothy G. Bricker, 30, and Douglas A. Stillwell, 30.
According to court records, before Corcoran fatally shot the four victims he was under stress because the forthcoming marriage of his sister to Turner would necessitate moving out of the Fort Wayne, Indiana, home he shared with his brother and sister.
While jailed for those killings, Corcoran reportedly bragged about fatally shooting his parents in 1992 in northern Indiana’s Steuben County. He was charged in their killings but acquitted.
Last summer, Gov. Eric Holcomb announced plans to resume state executions following a yearslong hiatus marked by a scarcity of lethal injection drugs nationwide.
The state provided limited details about the execution process, and no media witnesses were permitted under state law.
Indiana and Wyoming are the only two states that do not allow members of the media to witness state executions, according to a recent report by the Death Penalty Information Center.
Corcoran’s attorneys had fought his death penalty sentence for years, arguing he was severely mentally ill, which affected his ability to understand and make decisions. This month, his attorneys asked the Indiana Supreme Court to stop his execution but the request was denied.
Corcoran exhausted his federal appeals in 2016. But his attorneys asked the U.S. District Court of Northern Indiana last week to stop his execution and hold a hearing to decide if it would be unconstitutional because Corcoran has a serious mental illness. The court declined to intervene Friday, and the U.S. Court of Appeals for the 7th Circuit did the same Tuesday.
Corcoran’s attorneys then asked the U.S. Supreme Court issue an emergency order halting his execution, but the high court denied their request for a stay late Tuesday, ending Corcoran’s options with the courts.
His sole remaining hope then became Holcomb, who could have commuted Corcoran’s death sentence. But that commutation never came and the execution proceeded as scheduled.
WTTV says Holcomb issued a statement saying Corcoran’s case “has been reviewed repeatedly over the last 25 years – including 7 times by the Indiana Supreme Court and 3 times by the U.S. Supreme Court, the most recent of which was tonight. His sentence has never been overturned and was carried out as ordered by the court.”
Indiana’s last state execution was in 2009 when Matthew Wrinkles was put to death for killing his wife, her brother and sister-in-law in 1994.
Since then, 13 executions were carried out in Indiana, but those were initiated and performed by federal officials in 2020 and 2021 at a federal prison in Terre Haute.
State officials have said they couldn’t continue executions because a combination of drugs used in lethal injections had become unavailable.
For years, there has been a shortage across the country because pharmaceutical companies have refused to sell their products for that purpose. That’s pushed states, including Indiana, to turn to compounding pharmacies, which manufacture drugs specifically for a client. Some use more accessible drugs such as the sedatives pentobarbital or midazolam, both of which, critics say, can cause intense pain.
Religious groups, disability rights advocates and others have opposed his execution. About a dozen people, some holding candles, held a vigil late Tuesday to pray outside the prison, which is surrounded by barbed wire fences in a residential area about 60 miles east of Chicago.
“We can build a society without giving governmental authorities the right to execute their own citizens,” said Bishop Robert McClory of the Diocese of Gary, who led the prayers.
Other death penalty opponents also demonstrated outside the prison Tuesday night, some holding signs that read “Execution Is Not The Solution” and “Remember The Victims But Not With More Killing.”
“There is no need and no benefit from this execution. It’s all show,” said Abraham Borowitz, director of Death Penalty Action, his organization that protests every execution in the U.S.
Prison officials said in a brief statement Tuesday evening that Corcoran “requested Ben & Jerry’s ice cream for his last meal.”
Corcoran said farewell late Tuesday to relatives, including his wife, Tahina Corcoran, who told reporters outside the prison that they discussed their faith and their memories, including attending high school together. She reiterated her request for Indiana’s governor to commute her husband’s death sentence.
Tahina Corcoran said her husband is “very mentally ill” and she didn’t think he fully grasped what was happening to him.
“He is in shock. He doesn’t understand,” she said.
CBS News
1 killed, 9 injured in shooting, fiery crash in Baltimore suburb of Towson, police say
BALTIMORE — One person was killed and nine others injured in a shooting and fiery crash in the Baltimore suburb of Towson Tuesday night, authorities said.
Law enforcement responded at around 7:15 p.m. in the 8500 block of Loch Raven Boulevard, Baltimore County Police Chief Robert McCullough said in a news briefing.
“It appears to be a mass shooting incident,” McCullough told reporters. “We have multiple persons who were shot. Right now, we are determining the circumstances and the conditions in this case.”
The first arriving officer found a vehicle on its side in flames near a funeral home, McCullough said, and then several gunshot victims were found in the area.
“There appears to be some type of incident that led to the vehicle crashing and catching on fire,” McCollough said. “Investigators are looking into the circumstances leading up to that.”
The name of the person killed and the manner of death was not released, nor were the conditions of the nine people injured. McCollough did not specify how many of the nine people injured were gunshot victims.
At this time, investigators believe this was an isolated and targeted incident, with no further threat to the community, he added. It’s unclear if any suspects have been arrested. There was no word on a possible motive.
“We will leave no stone unturned and we will dedicate every resource to this,” McCullough said. “We don’t generally see incidents like this in our community in Baltimore County. I assure you as your police chief that we will put all resources toward trying to clear this case.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives was at the scene assisting police, as was the Baltimore County Fire Department.
“This is an incident that is shocking, particularly for those of us in Baltimore County,” said Baltimore County Executive Johnny Olszewski. “These types of incidents are unheard of here, so it really shocks the conscience. However, we want our residents to know that we are, as always, fully committed to ensuring that both our fire and police departments have the full support and all the resources they need from the Baltimore County government to ensure that they bring this investigation to a conclusion.”
Anyone with information is asked to call Baltimore County Police at 410-887-4636.