FTX ex-CEO accused of bribing Chinese officials
Now Sam Bankman-Fried (SBF) is under another charge, where he violated systematic procedure to release funds from Alameda Research’s China based account.
Sam Bankman-Fried (SBF) is the former CEO & founder of FTX crypto exchange. Allegedly, SBF misused FTX customers’ funds for personal benefits. Because of the high level of mismanagement of the customers’ funds, the FTX exchange collapsed badly. On 19 Nov 2022, the FTX team filed for bankruptcy under the chapter 11 code in a US bankruptcy court, along with more than 130 affiliated companies including its sister crypto hedge firm Alameda Research.
On 28 March 2023, A New fraud charge came into light when US prosecutors accused SBF of bribing Chinese officials to unfreeze accounts linked with Alameda Research.
Reports confirmed that Alameda Research’s accounts were frozen by the Chinese authorities. To unfreeze the frozen account, SBF appointed Attorneys to handle the case and also use the names of those high authority people, who were not linked or associated with FTX or Alameda but he failed.
US prosecutor’s charges confirmed that SBF instructed Alameda Research’s employee to transfer around $40 million to a Chinese employee to bypass restrictions by Chinese officials.
So now, SBF is facing a total of 13 charges, which include money laundering, wire fraud, and the violation of campaign finance laws. So far prosecutors failed to prove 8 charges against SBF but other charges are actively under hearing.
At present, SBF lives with his parents on behalf of a $250 million bond bail. His mobile & laptops are under full monitoring. In short, SBF can’t use its technical devices to contact the employees or any worker of the FTX or FTX-related companies’ employees.
If any of the SBF’s activity will create doubt or indicate that he violated the bail agreement then US enforcement officers will collect all tech equipment like Mobile, laptop, etc from him to investigate.
Read also: FDIC orders Signature Bank’s cryptocurrency clients to take out money before 5 April
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