Tag: FTX

US Prosecutors to Reduce Criminal Charges on FTX Founder SBF in October Trial

The DoJ prosecutors have eliminated five charges relating to fraud, conspiracy, and bribery initially levied against the disgraced FTX founder. In a court filing on Wednesday, June 14, prosecutors with the US Department of Justice (DoJ) told the district judge that they would be proceeding with eight charges in the trial levied against FTX founder Sam Bankman-Fried back in December 2022. The DoJ lawyers also cited a motion filed by SBF in the Bahamas wherein he argued that the 13 charges that he faced were not in the original indictment,…

U.S. Justice Department Agrees to Try FTX Founder Sam Bankman-Fried on Original Charges Only for Now

Those original charges include counts one (conspiracy to commit wire fraud on customers of FTX), two (wire fraud on customers of FTX), three (conspiracy to commit fraud on FTX customers tied to derivatives), five (conspiracy to commit securities fraud against FTX investors), seven (conspiracy to commit wire fraud on lenders to Alameda Research), eight (wire fraud on lenders to Alameda Research), 11 (conspiracy to commit money laundering) and 12 (conspiracy to make unlawful political contributions and defraud the Federal Elections Commission). Source

FTX authorized to ‘permanently redact’ customer names from all bankruptcy filings

boss

Bankrupt cryptocurrency exchange FTX has been granted permission to remove individual customers from all court filings in its bankruptcy case. Meanwhile, the names of companies and institutional investors will be sealed for another 90 days. In recent times, mainstream media outlets have pushed for access to the list of FTX customers, arguing that the press and public have a “presumptive right of access to bankruptcy filings.” However, FTX has consistently objected to these requests, arguing that disclosing the names could potentially undermine the sale value of the crypto exchange if…

FTX argues releasing ‘valuable’ customer list will harm its sale value

boss

The list of around nine million FTX customers is “extraordinarily valuable” and could harm the crypto exchange’s sale value if released, a member of the FTX restructuring team has argued. In a court hearing released June 8, Kevin Cofsky, a partner at the investment bank Parella Weinberg on retainer to FTX, said that if competitors were to gain knowledge of FTX’s customers it “would be detrimental” to the exchange’s restructuring efforts. Cofsky is part of the team aiming to squeeze the maximum amount of value from FTX which could involve…

SEC’s crypto actions surged 183% in 6 months after the FTX collapse

boss

Cryptocurrency-related enforcement actions undertaken by the United States securities regulator significantly increased in the six months following the bankruptcy of cryptocurrency exchange FTX. An analysis of press releases from the Securities and Exchange Commission (SEC) and news reports on its actions found that in the six months preceding FTX’s collapse — the SEC undertook approximately six enforcement actions. In the six months after FTX’s bankruptcy on Nov. 11, 2022, SEC crypto-related enforcement actions jumped to at least 17, an estimated increase of 183% from the preceding period. Graph showing the…

SEC’s Gensler claims ‘parallels’ between Binance and FTX, yet one wasn’t sued

boss

The United States securities chair has hinted at “parallels” between crypto exchange Binance and collapsed exchange FTX — namely their alleged use of sister firms to move funds.  Speaking to Bloomberg on June 6, the U.S. Securities and Exchange Commission chair Gary Gensler, pointed to FTX’s alleged fraud and manipulation regarding its sister firm Alameda Research, including the alleged role that its founder Sam Bankman-Fried played in it. SEC’s Gary Gensler speaking with Bloomberg’s David Westin. Source: Bloomberg “There’s a business model that bundles and commingles functions that we don’t…

SBF upset by criminal trial’s late evidence while FTX seeks sale of AI stock

boss

Former FTX CEO Sam Bankman-Fried claims prosecutors have missed discovery deadlines for key pieces of evidence required in the defense of a raft of fraud charges. On June 5, Bankman-Fried’s lawyers told United States District Judge Lewis A. Kaplan in a letter that the government had not turned over all of the contents of five electronic devices that were due for discovery by the end of March. A laptop and iPhone belonging to former Alameda Research CEO Caroline Ellison and a laptop belonging to FTX co-founder Gary Wang were among the…

Met Museum Agrees to Return $550K in FTX Donations, Highlights Ethical Concerns

The Metropolitan Museum of Art in New York City cited ethical concerns surrounding the cryptocurrency exchange’s operations while has announcion its decision to return $550,000 in donations received from FTX. The Metropolitan Museum of Art (Met Museum), renowned as one of the United States’ most esteemed cultural institutions, has made the decision to return a substantial donation of $550,000 that was generously contributed by the cryptocurrency exchange FTX. Court filings to the United States Bankruptcy Court on Friday disclosed that the Met has chosen to return the donations it had…