Kash post: “The Hair gets arrested.”

𝐒𝐄𝐂 𝐯. 𝐒𝐁𝐅 (𝐅𝐓𝐗) 𝐈𝐧𝐝𝐒𝐜𝐭𝐦𝐞𝐧𝐭 

28 𝐩𝐚𝐠𝐞𝐬:


1. From at least May 2019 through November 2022, Bankman-Fried engaged in a scheme to defraud equity investors in FTX Trading Ltd. (β€œFTX”), the crypto asset trading platform of which he was CEO and co-founder, at the same time that he was also defrauding the platform’s customers. Bankman-Fried raised more than $1.8 billion from investors, including U.S. investors, who bought an equity stake in FTX believing that FTX had appropriate controls and risk management measures. Unbeknownst to those investors (and to FTX’s trading customers), Bankman-Fried was orchestrating a massive, years-long fraud, diverting billions of dollars of the trading platform’s customer funds for his own personal benefit and to help grow his crypto empire.

2. Throughout this period, Bankman-Fried portrayed himself as a responsible leader of the crypto community. He touted the importance of regulation and accountability. He told the public, including investors, that FTX was both innovative and responsible. Customers around the world believed his lies, and sent billions of dollars to FTX, believing their assets were secure on the FTX trading platform. But from the start, Bankman-Fried improperly diverted customer assets to his privately-held crypto hedge fund, Alameda Research LLC (β€œAlameda”), and then used those customer funds to make undisclosed venture investments, lavish real estate purchases, and large political donations.

[…] In truth, Bankman-Fried had exempted Alameda from the risk mitigation measures and had provided Alameda with significant special treatment on the FTX platform, including a virtually unlimited β€œline of credit” funded by the platform’s customers. 

4. While he spent lavishly on office space and condominiums in The Bahamas, and sank billions of dollars of customer funds into speculative venture investments, Bankman-Fried’s house of cards began to crumble. When prices of crypto assets plummeted in May 2022, Alameda’s lenders demanded repayment on billions of dollars of loans. Despite the fact that Alameda had, by this point, already taken billions of dollars of FTX customer assets, it was unable to satisfy its loan obligations. Bankman-Fried directed FTX to divert billions more in customer assets to Alameda to ensure that Alameda maintained its lending relationships, and that money could continue to flow in from lenders and other investors.

Here is the complete SDNY indictment of SBF: link.

Ex-girlfriend of FTX boss Sam Bankman-Fried LAWYERS UP as he is arrested, charged and faces extradition to U.S. after ‘defrauding investors out of $1.8BN in house of cards deception’

‘We allege that Sam Bankman-Fried built a house of cards on a foundation of deception while telling investors that it was one of the safest buildings in crypto,’ SEC Chair Gary Gensler said.

FTX founder Sam Bankman-Fried has arrived at court in The Bahamas flanked by his Stanford law professor parents and a police escort after being arrested on charges of fraud.  

Sam Bankman-Fried arrives at court in The Bahamas


charges against Sam Bankman-Fried πŸ”₯

{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)

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By Radiopatriot

Retired Talk Radio Host, Retired TV reporter/anchor, Retired Aerospace Public Relations Mgr, Retired Newspaper Columnist, Political Activist Twitter.com/RadioPatriot * Telegram/Radiopatriot * Telegram/Andrea Shea King Gettr/radiopatriot * TRUTHsocial/Radiopatriot

1 comment

  1. Now that he has been arrested, do not expect any meaningful testimony in the Congressional hearings (which he voluntarily agreed to testify in).

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