Andrew Dietderich, an attorney for FTX, said that co-founder Gary Wang created a secret line of credit using customer funds that Sam Bankman-Fried ordered.
Sam Bankman-Fried ordered the co-founder of his cryptocurrency exchange FTX to create a “secret” backdoor that allowed his hedge fund Alameda Research to borrow $65 billion of clients’ money without their permission, according to testimony over the firm’s implosion.
Bankman-Fried had moved $10 billion between the two companies, with a further $2 billion still unaccounted for, according toSam Bankman-Fried allegedly ordered FTX co-founder Gary Wang to create the secret line of credit without permission from FTX customers.The lawyer’s testimony corroborates allegations made by the Commodity Futures Trading Commission, the independent federal agency which regulates derivatives such as futures and swaps.
Wang and Ellison have both pleaded guilty to federal charges including fraud and conspiracy. They are cooperating with investigators.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Sam Bankman-Fried’s father Joseph Bankman lawyers up as FTX probe progressesJoseph Bankman hired an attorney who specializes in “white-collar criminal defense.”
Consulte Mais informação »
How Serious Are Sam Bankman-Fried’s Alleged Campaign-Finance Violations?There have been plenty of cases of individuals trying to illegally conceal their political donations. What makes the Sam Bankman-Fried case different is that the money allegedly wasn’t his to give.
Consulte Mais informação »
Unemployed and under house arrest, Sam Bankman-Fried faces enormous legal billsSam Bankman-Fried's legal defense could cost millions of dollars.
Consulte Mais informação »
Sam Bankman-Fried says he didn't steal FTX fundsIn a blog post published Thursday, the former FTX CEO tried to explain the collapse of his crypto empire and reiterated that he thinks the company could still be saved.
Consulte Mais informação »
Sam Bankman-Fried's 'secret backdoor' worth $65 billion, court hearsSam Bankman-Fried's trading firm borrowed $65 billion from FTX via a 'secret backdoor' to fund donations and a luxury lifestyle, bankruptcy court hears
Consulte Mais informação »