Weak FTX CEO Sam Bankman-Fried will enter a plea next week in a The big apple federal court, Reuters reported on Wednesday.

Courtroom records viewed by Reuters disclosed that Bankman-Fried is anticipated to be arraigned on the afternoon of Jan. 3 sooner than U.S. District Deem Lewis Kaplan.

At that point, SBF can also enter a plea of responsible, which also can result in a negotiation with prosecutors, or no longer responsible, which would point out deciding on to battle the prices towards him in a trial.

Bankman-Fried faces criminal prices for his actions in defrauding traders of crypto replace FTX, along with misappropriating customer funds by loaning them to his quantitative procuring and selling firm Alameda Be taught.

In retaining with passe federal prosecutor Ian McGinley, if SBF chooses to plead responsible, a toddle plea deal for the FTX founder is highly no longer likely. McGinley, who served as an assistant US Attorney within the Southern District of Fresh York, instructed CoinDesk that, since he turned into once the pinnacle of FTX, the buck stopped with Bankman-Fried, reducing the possibilities of any leniency towards his sentencing.

In his peep, the categorical “game changer” turned into once testimony from Alameda CEO Caroline Ellison and FTX co-founder Gary Wang.

“Now you agree with two of us – two insiders – who were with him, presumably in some unspecified time in the future of all of the pivotal moments at stake within the case announcing ‘We conspired with others, presumably Sam Bankman-Fried, and we intentionally did something tainted,’” he said.

Ellison’s responsible plea particularly states that she and Bankman-Fried knowingly misled traders with monetary statements that were ready to conceal the nature of Alameda’s legend on FTX.

“Whereas I turned into once co-CEO after which CEO, I understood that Alameda had made a considerable amount of gargantuan illiquid project investments and had lent money to Mr. Bankman-Fried and varied FTX executives,” said Ellison in a court room earlier this month.