FTX’s SBF pocketed $2.2 billion before Exchange crashed: New bosses

  • FTX’s Sam Bankman-Fried and 5 of his relatives transferred more than $3.2 billion to personal accounts, a filing shows.
  • The funds came mostly from sister hedge fund Alameda, new FTX bosses said on Wednesday.
  • Bankman-Fried, who faces criminal charges, was awarded $2.2 billion, according to the bankruptcy court filing.

FTX co-founder Sam Bankman-Fried and five people in his inner circle took more than $3.2 billion from hedge fund Alameda Research and other parts of his crypto empire, according to his new bosses.

The former Bankman-Fried CEO and FTX employees transferred the money to their personal accounts under the label “payments and loans”, FTX’s new management said Wednesday bankruptcy court filings.

Most of the funds came from Alameda, FTX’s sister trading arm, and moved before the crypto exchange collapsed in November, they said.

Bankman-Fried scooped around $2.2 billion, while former engineer Nishad Singh, FTX co-founder Gary Wang and ex-Alameda CEO Caroline Ellison received $587 million, $246 million, respectively. dollars and $6 million, according to the documents.

Ryan Salame, the former co-CEO of FTX Digital Markets, and Sam Trabucco, former co-head of Alameda, accounted for $87 million and $25 million, respectively.

The new revelations do not include the more than $240 million spent luxury property in the Bahamaspolitical and charitable donations made directly by debtors of FTX and substantial transfers to non-debtor affiliates in the Bahamas and other jurisdictions.

Bankman-Fried faces eight criminal changes, including money laundering and wire fraud, linked to the downfall of his once-$30 billion crypto empire. The charges carry penalties of up to life imprisonment for the 31-year-old man, under house arrest at his parents’ home in California.

US prosecutors charge Bankman-Fried funneled money to Alameda, a crypto hedge fund he also controlled. They also allege that the modified software code was used to allow Alameda to carry a negative balance while borrowing unlimited funds from the FTX exchange.

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