Expert Who Oversaw Enron Bankruptcy Says He's Never Seen 'Such a Complete Failure' as FTX

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Expert Who Oversaw Enron Bankruptcy Says He's Never Seen 'Such a Complete Failure' as FTX
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John Ray III, the newly appointed CEO of FTX who previously oversaw the restructuring of the infamous energy company Enron, says that he has never before seen “such a complete failure” of corporate controls as he has with FTX.

that FTX Chief Executive Officer John Ray III was blunt in a declaration to the U.S. Bankruptcy Court for the District of Delaware, stating that “in his 40 years of legal and restructuring experience,” he had never seen “such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here.”

According to Ray, Bankman-Fried’s systems and regulatory compliance controls were so lackadaisical that they amounted to gross negligence. “The concentration of control in the hands of a very small group of inexperienced, unsophisticated and potentially compromised individuals” was unprecedented, Ray said.

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