FTX’s Ex-Engineering Chief Pleads to be Spared From Prison

Nishad Singh, the former head of engineering at FTX, has requested leniency from a New York judge. His attorneys are urging the court to avoid imposing a prison sentence.

According to a Bloomberg report, Singh’s legal team pleaded for a more lenient outcome based on his cooperation with authorities, his minor role in the FTX collapse, and his efforts to rebuild his life.

Singh Pleads Guilty

Singh is among four top FTX executives who pleaded guilty to charges linked to the exchange’s multi-billion-dollar collapse. He is set for sentencing on October 30. The Bloomberg report indicated that Singh’s legal team emphasized his “extraordinary circumstances,” including his personal background and minimal involvement in the fraud.

The attorneys highlighted Singh’s early admission of guilt, noting that he accepted responsibility for serious crimes and has expressed deep regret. They also stressed that his involvement was less significant than that of other defendants.

Singh’s defense team included over 100 letters from friends, family, and former colleagues, describing him as a “selfless individual” who has actively sought to turn his life around.

Singh’s Roles in FTX Collapse

In February 2023, Singh pleaded guilty to six charges, including conspiracy to commit fraud. He was a childhood friend of FTX founder Sam Bankman-Fried (SBF) and wrote code that gave Alameda Research, FTX’s sister company, special access to the platform. Additionally, he helped backdate transactions to make FTX look financially stable.

Prosecutors assert that Singh knew about SBF’s transfer of customer funds to cover financial shortfalls during the 2022 crypto downturn. Singh also withdrew $6 million for personal use while the company neared bankruptcy.

Since then, Singh has apologized for his actions and promised to repay any money he gained from the scheme. He was among the first to cooperate with investigators looking into SBF and former FTX Digital Markets co-CEO Ryan Salame.

Former Executives Held Accountable

SBF is serving a 25-year sentence after being convicted on seven fraud and conspiracy charges. Salame began his 90-month sentence on October 11 for making illegal political contributions.

Meanwhile, Caroline Ellison, set to start a two-year prison term in 2025, agreed to forfeit $11 billion as part of her plea deal. Gary Wang, the former FTX technology chief, faces up to 50 years and will be sentenced on November 20, depending on the final charges he is convicted of.