FTX’s Nishad Singh gets no jail time, 3 years supervised release for role in crypto fraud, and has been ordered to forfeit $11 billion.
Former FTX executive Nishad Singh was sentenced to time served and three years of supervised release on Wednesday, becoming the fourth ex-employee of the defunct crypto exchange to face penalties. Singh was also ordered to forfeit $11 billion.
Singh, who faced up to 75 years in prison, received a more lenient sentence as New York Judge Lewis Kaplan acknowledged his “remarkable” cooperation with authorities, noting his role in the fraud was much less significant than that of FTX founder Sam Bankman-Fried or Caroline Ellison, former CEO of sister firm Alameda Research. Ellison, a key witness in Bankman-Fried’s trial, recently received a two-year sentence.
As FTX’s head of engineering, Singh had pleaded guilty to six criminal charges, including conspiracy to commit securities fraud, money laundering, and campaign finance violations. Speaking in court, Singh expressed remorse, saying he had lost sight of his values and didn’t expect forgiveness, though aiding the government’s investigation gave him renewed purpose. Just before the hearing, he paced alone, rehearsing his statement from a single sheet of paper.
FTX collapsed into bankruptcy in November 2022 after it failed to meet customer withdrawals and allegedly misappropriated $8 billion in client funds. In March, Bankman-Fried was sentenced to 25 years in prison and ordered to pay $11 billion.
Singh’s attorney, Andrew Goldstein, highlighted Singh’s extensive cooperation, noting his relatively late involvement in FTX’s fraudulent activities. Prosecutors said Singh’s cooperation was extensive, meeting with them over 24 times, and praised his “earnest remorse” and willingness to provide crucial information on criminal conduct that otherwise might not have been discovered.
Assistant U.S. Attorney Nicolas Roos added that Singh revealed a campaign finance scheme previously “totally unknown” to the government, contributing vital details.
Judge Kaplan noted Singh’s cooperation by saying, “You did the right thing.”
In the courtroom filled with over 30 friends and family members, including his fiancée, parents, and brothers, Singh received support. More than 100 people submitted letters advocating for Singh, including Gabe Bankman-Fried, who called Singh “one of the kindest people I have ever known,” urging the judge to show Singh the compassion he had extended to others.
