U.S. District Judge Lewis Kaplan acknowledged that Ellison was “gravely culpable” in the fraud but also recognized her “remarkable cooperation,” which distinguished her from Bankman-Fried.

Yes, Ellison could be released a few months earlier than her two-year sentence if she exhibits good behavior in prison.

Ellison’s sentence was reduced due to her significant cooperation with the authorities, which was instrumental in securing Bankman-Fried’s conviction. Prosecutors recommended leniency because of her honest and full cooperation.

Caroline Ellison was sentenced to two years in prison for her involvement in the fraud.