Federal prosecutors currently pursuing former FTX CEO Sam Bankman-Fried have received an order to make public a superseding indictment. There are 12 distinct crimes charged in this indictment.
U.S. Attorney for the Southern District of New York Damian Williams filed a superseding indictment against Bankman-Fried on February 22. Williams claimed that Bankman-conduct Fried’s in the case involving FTX and Alameda constituted probable cause for the 12 allegations against him. In addition to the four counts of wire fraud and securities fraud listed in the indictment, there were eight counts of fraud conspiracy.
The superseding indictment against Bankman-Fried detailed multiple counts of wire fraud connected to his alleged acts at FTX and Alameda, as well as an additional count of conspiracy to commit bank fraud. On December 13, 2018, eight comparable allegations were filed in the initial indictment against Bankman-Fried. There were only seven charges in the original indictment, but nine in the new one. Prosecutors also said at the time that FTX engaged in “buy and sales of derivatives,” which appears to be part of the supplemental indictment. This accusation appears in the indictment under the heading “buying and sales of derivatives.”
According to the indictment, Bankman-Fried opened a bank account and solicited user deposits while engaging in fraudulent activity: “[Bankman-Fried and others] falsely represented to a financial institution that the account would be used for trading and market making, even though he knew that the account would be used to receive and transmit customer funds in the operation of a cryptocurrency exchange, and thereafter, in connection with using the account for the rec…”
According to the petition, SBF and others funneled “tens of millions of dollars” through “straw donors” or corporate sponsorship to make more than 300 illicit political contributions. Federal Election Commission “contribution rules on individual contributions” were allegedly circumvented by Bankman-Fried, as stated by the United States Attorney. The average limit is $100.
Despite the fact that “Alameda personnel routinely monitored loans to executives,” the paper claims that “internal Alameda monitoring spreadsheets did not document the transfers to Bankman-Fried in the months before to the 2022 midterm elections.” ” However, FEC records show that Alameda did not make any political contributions to politicians or PACs for the 2022 midterm elections, despite an internal Alameda spreadsheet indicating otherwise (PACs).
Former FTX CEO Bankman $250 million Fried has been largely confined to his parents’ California home since his bail hearing in December, when his parents agreed to put up equity from their property as part of his bond. The court proceeding was held in the Golden State. Bankman-bail, Fried’s, was set at $200,000, and research scientist Andreas Paepcke and former dean of Stanford University’s law school Larry Kramer both signed on as sureties.
Bankman-criminal Fried’s trial will begin in October in federal court, although the bankruptcy case involving FTX is now being conducted in the United States Bankruptcy Court for the District of Delaware. In a plea deal, Gary Wang, co-founder of FTX, and former Alameda Research CEO Caroline Ellison pled guilty to charges that were also leveled against SBF. Experts in the field are hopeful that they will shed light on SBF’s case.
