Sam Bankman-Fried Accused of Conspiring To Make Illegal Political Donations, Hit With Four New Charges
February 24, 2023 9968 by adminThe disgraced founder of the failed password-sharing platform FTX has been charged with a series of new charges on suspicion of illegal political donations.
Rob Bankman-Fried, the former CEO of FTX, is now being tested for colluding with more than 300 illegal campaign donations and testing a new charge, according to a new court document.
->The government says Bankman-Fred has long faced fraud and allegations of improper use of billions of dollars worth of money, bypassing campaign donation restrictions through "wheat straw donations."
During the presidential election period from the fall of 2021 to November 2022, the defendant Bankman-Fried and the two FTX executives who were part of the program donated millions of dollars, mainly including "money" donations to the federal government candidates of the two key ruling parties.
According to court documents, such political donations can be traced back to the Alameda Research Center (Alameda Research), a trading branch of the FTX ecosystem. Bankman-Fry has been tested to provide billions of dollars worth of user funds to Alameda.
The funds used to make such political donations come from Alameda bank accounts, mainly including funds deposited by FTX customers.
Although he knew about the contest accounting law, in order to conceal the actual origin of the funds, the defendant allowed the suggestion that the donation funds should be transferred from the bank account in Alameda to the bank account under the donor's name, which also included FTX customer money, and then quickly transferred from some personal bank accounts to the political campaign.
Last November, FTX declared bankruptcy for the first time after the collapse of local property, forcing it to stop customer savings and withdrawals.
Bankman-Fried is currently on parole on initial charges and is awaiting trial. If the initial charges were created, he would face more than 100 years of imprisonment.
The former billionaire also faces civil cases from federal agencies such as the Securities and Exchange Commission and the Commodity Futures Trading Federation (CFTC). However, such cases will be left idle until the criminal trial of Bankman Fried is completed.
