Founder of bankrupt cryptocurrency exchange FTX faces criminal charges of fraud and conspiracy.
After remaining free for several weeks, Sam Bankman-Fried, the founder of cryptocurrency exchange FTX, received bad news in the form of charges, some of them criminal, from regulators on December 13.
Here are the eight charges contained in the indictment, unsealed by the prosecutors of the Department of Justice:
– Conspiracy to commit wire fraud on customers
– Wire fraud on customers
– Conspiracy to commit wire fraud on lenders
– Wire fraud on lenders
– Conspiracy to commit commodities fraud
– Conspiracy to commit securities fraud
– Conspiracy to commit money laundering
– Conspiracy to defraud the United States and violate the campaign finance laws
It should be noted that only the name of Sam Bankman-Fried is cited in the 13-page document, which does not contain many details.
But the prosecutors refer to the targets of the indictments as “others known and unknown”, which suggests that they have already obtained the cooperation of others or that they may be filing charges against additional individuals in the near future.
The indictment alleges that Bankman-Fried’s illegal conduct began as early as 2019 and continued through last month. The former trader founded FTX in 2019.
Mark Cohen, an attorney for Bankman-Fried, said that his client “is reviewing the charges with his legal team and considering all of his legal options.”
Bankman-Fried was arrested on December 12 in the Bahamas at the request of the US authorities. He spent the night in a police station and appeared in court on December 13 for his arraignment hearing.