After hypothesis, drama and conspiracy theories, Sam Bankman-Fried – the previous CEO and founding father of collapsed cryptocurrency trade FTX – has lastly been arrested, a number of information retailers have reported.
Authorities arrested Bankman-Fried on Monday, Dec. 12, within the Bahamas, the place FTX is headquartered. That is after the cryptocurrency tycoon was criminally charged by US prosecutors.
Bankman-Fried was arrested with out incident.
“Early this night, Bahamian authorities arrested Samuel Bankman-Fried on the request of the U.S. authorities based mostly on a sealed indictment filed by the Southern District of New York,” tweeted Damian Williams, U.S. Legal professional for the Southern District of New York. did. In accordance with Agence France-Presse through Philippine Star.
USA Damian Williams: Earlier this night, Bahamian authorities arrested Samuel Bankman-Fried on the request of the US authorities based mostly on a sealed indictment filed by SDNY. We plan to open the indictment within the morning, and we could have way more to say at the moment.
— U.S. Legal professional SDNY (@SDNYnews) December 12, 2022
Former FTX CEO Sam Bankman-Fried. Picture: Spencer Heyfron.
collar in entrance of parliament
The arrest comes simply earlier than Bankman-Fried’s digital look on the Home Monetary Companies Committee on Tuesday, the place he was scheduled to discuss the failure of a cryptocurrency trade a month in the past.
The Bahamas Legal professional Common’s Workplace issued a information launch saying it could detain Bankman-Fried in anticipation of an extradition request from the U.S. authorities.
His arrest is the primary concrete step taken by authorities to carry people accountable for the multi-billion greenback FTX disaster.
Rep. Maxine Waters (D-California), chairman of the Home Monetary Companies Committee, expressed “shock” at his arrest and regretted that the U.S. Congress will be unable to listen to him.
Bankman-Fried ran FTX and amassed a private fortune of billions of {dollars}. The arrest is a surprising reversal of fortune for his 30-year-old mogul who earlier this yr hit one of many world’s largest cryptocurrency exchanges, valued at $32 billion.
Sam Bankman Freed going through a number of prison prices
The movie star promoted his trade platform in TV commercials, and the tech genius grew to become a daily in Washington, donating tens of thousands and thousands of {dollars} to varied political campaigns.
In accordance with Reuters (through Rappler), FTX, Bankman-Fried’s dad and mom and senior administration on the firm have acquired greater than 20 properties within the Bahamas value greater than $120 million previously two years.
In an interview with Forbes on December 12, the SBF as soon as once more accused Binance CEO Changpeng Zhao of bankrupting his firm. He claimed that “CZ” supposed to stifle competitors by destroying his FTX.
Bitcoin plummeted to a two-year low following the collapse of FTX as buyers feared the corporate’s issues would unfold to different crypto organizations.
In the meantime, the New York Occasions, citing sources with data of the state of affairs, stated that Bankman-Fried had been charged with wire fraud, securities fraud, wire fraud conspiracy, securities fraud conspiracy, and cash laundering. clarified.
The US Securities and Alternate Fee additionally filed one other collection of lawsuits in opposition to SBF.
Some authorized consultants say Bankman-Fried might spend many years in jail if the fees in opposition to him are discovered responsible.
However U.S. prosecutors should first search his extradition from the Bahamas to New York earlier than he can start his jail time period.
