Sam Bankman-Fried, CEO of FTX, has reportedly transferred $2.2 billion from the cryptocurrency exchange to his personal account and dispersed $ 1 billion to five members of his inner circle before the collapse of the exchange, according to court filings.
BREAKING: Sam Bankman-Fried received $2.2 billion in payments from FTX over his time there, per FT.
— unusual_whales (@unusual_whales) March 16, 2023
Recent Findings on the FTX Case
Bankman-Fried and five of his associates recently transferred a total of $ 3.2 billion to their individual accounts. According to the filings with the bankruptcy court of Delaware indicated on Wednesday evening, these transfers were made by utilizing the funds sourced from Alameda Research. This was basically a crypto trading hedge fund closely associated with FTX.
Under the leadership of John Ray, appointed as Chief Executive of FTX following the Chapter 11 bankruptcy filings in November, efforts have been made to locate and restore those cryptocurrencies and other assets belonging to the millions of FTX customers. These digital assets had been frozen since the bankruptcy.
Charges on FTX
Bankman-Fried is facing multiple federal charges in connection with the failure of FTX and is alleged to have taken advantage of the platform for his own benefit and engaged in securities fraud. He has entered a plea of not guilty and is currently in his parents’ home in California, awaiting the commencement of his trial in October. Three FTX insiders: Nishad Singh, Caroline Ellison, and Gary Wang, who had already pleaded guilty, are currently providing assistance to prosecutors in accordance with their plea agreement.
Ellison, the previous head of Alameda, has been reported to receive $ 6 million. Furthermore, according to her statement to the prosecutors, she also had access to an infinite line of credit on FTX.com. Subsequently, some ex-FTX employees, namely, John Samuel Trabucco and Ryan Salame, have collectively received over $ 100 million.