Sam Bankman-Fried, the fallen cryptocurrency star and former head of the FTX platform, was arrested in the Bahamas on Monday, December 12 at the request of US authorities, New York State Attorney Damian Williams announced. “We will have additional information about the indictment” He clarified in his tweet on Tuesday morning. “SBF” will appear in the court of capital Nassau on Tuesday.
The United States has “complained” against the thirties and “Probably they will ask to extradite him”Bahamas Attorney General Ryan Pinder said in a statement on Twitter: Both countries “Interested in prosecuting those associated with FTX who may betray the public trust and violate the law.”Philip Davis, the Prime Minister of the archipelago kingdom located northeast of Cuba, said: The Bahamas will conduct its own “criminal investigation into the collapse of FTX,” he added, the statement quoted him as saying.
The collapse of the FTX group appears to be the result of the absolute concentration of control in the hands of a very small group of highly inexperienced and unsophisticated individuals. »
John Ray, the new head of FTX
SBF has been in the media for a month, despite the risk of a fraud lawsuit after the company’s spectacular explosion, which was valued at $32 billion at the beginning of the year. He was scheduled to speak to a House committee on Tuesday, along with new FTX chief John Wray. Former managers of the bankrupt platform have shown a “complete failure” at all levels of control, spending without actually counting their customers’ money, according to a document released on the eve of a congressional hearing last Monday.
At first sight, “The collapse of the FTX group appears to be the result of the absolute concentration of control in the hands of a very small group of highly inexperienced and unsophisticated individuals who have not implemented any of the systems or controls required for a company in which other people’s money or assets are entrusted.”, emphasized John Ray. Considered one of the world’s leading cryptocurrency exchanges, FTX was suddenly unable to return money deposited there by its customers in early November. The group announced its bankruptcy filing on November 11.
“Expenses”
“I have never tried to deceive anyone”assured Sam Bankman-Fried at the end of November during the conference New York Times. “Obviously I made a lot of mistakes and I would give anything to do some things again.” The former muse of cryptos has chosen to multiply interviews and speeches on Twitter, despite the seriousness of the accusations against him. A graduate of the Massachusetts Institute of Technology, the son of law professors at Stanford University, he was able to legitimize cryptocurrencies with the general public and the political class. But his battered air and his wavering tone during recent performances provide a striking contrast to the hopeful image he has carved out for himself in recent years.
An investigation has already revealed that assets deposited by clients at FTX were mixed with assets of the Alameda brokerage and crypto investment firm, also founded by Sam Bankman-Fried. And Alameda happily dipped into FTX clients’ funds to make risky bets. Such use of these funds would constitute fraud if it violated the terms of the agreement between FTX and its clients, many lawyers believe.
FTX has also embarked on a “costs” By the end of 2021, with $5 billion in companies and investments “which may only cost one serving” about it, according to John Ray. The platform has also provided more than a billion dollars in loans or payments to people inside the company. For the new leader, who has overseen several bankruptcy proceedings, including the case of the former American energy giant Enron, the goal is now: “maximum value” assets still held by FTX to repay the group’s customers and creditors as much as possible.
Source: Le Figaro
I am Ben Stock, a passionate and experienced digital journalist working in the news industry. At the Buna Times, I write articles covering technology developments and related topics. I strive to provide reliable information that my readers can trust. My research skills are top-notch, as well as my ability to craft engaging stories on timely topics with clarity and accuracy.