Sun. May 26th, 2024

•Federal prosecutors have announced a new indictment of Sam Bankman-Fried with four additional criminal charges.
•The document alleges that SBF is also guilty of conspiracy to commit bank fraud and conspiracy to operate an unlicensed money transmitter.
•The industry is still reeling from both the business impact as well as the regulatory scrutiny that has followed since, including allegations of illegal donations.

New Indictment for Sam Bankman-Fried

Federal prosecutors have announced a new indictment of Sam Bankman-Fried with four additional criminal charges. The document alleges that SBF is also guilty of conspiracy to commit bank fraud and conspiracy to operate an unlicensed money transmitter.

Charges Facing SBF

Previously, SBF was charged with all of the following counts by the United States Southern District Court of New York, including: 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 and Conspiracy to defraud the United States and violate the Campaign Finance Laws.

Impact of FTX Exchange Failure

The industry is still reeling from both the business impact as well as the regulatory scrutiny that has followed since. “Contrary to Bankman-Fried’s promises to FTX customers that the exchange would protect their interests and segregate their assets,” prosecutors allege “Bankman-Fried routinely tapped FTX customer assets to provide interest-free capital for his and Alameda’s private expenditures.”

Allegations Of Illegal Donations

In addition to functional issues with FTX, alleged illegal donations are now being further detailed in this new indictment which examines how SBF utilized others so contribute political movements without his name publicly attached them or his business entities associated with them. Therefore “Bankman-Fried caused substantial contributions be made in support political candidates across spectrum.”

Conclusion

With this new indictments against Sam Bankman-Fried allege four additional criminal charges; investigate how he utilized other entities make illegal donations while obscuring himself; portrays him tapping into customer assets for personal expenses; it remains see what will come out these allegations and what repercussions there may be for cryptocurrency companies run by him.

By admin