© Reuters. FILE PHOTO: Former FTX Chief Executive Sam Bankman-Fried, who faces fraud fees over the collapse of the bankrupt cryptocurrency alternate, exits the Manhattan federal courtroom in New York City, U.S. February 16, 2023. REUTERS/Eduardo Munoz
(Reuters) – Bankrupt cryptocurrency alternate FTX made transfers of about $2.2 billion to firm founder Sam Bankman-Fried via associated entities, the corporate’s new administration stated.
Overall greater than $3.2 billion was transferred via funds and loans to firm founders and key staff, FTX stated in a press release on Wednesday.
These funds have been made mainly from Alameda Research hedge fund, FTX stated, including that it made these disclosures by submitting schedules and statements of economic affairs with the chapter courtroom.
The crypto alternate stated the transfers didn’t embrace over $240 million spent to buy luxurious property within the Bahamas, political and charitable donations made straight by the FTX debtors, and substantial transfers to non-debtor items within the Bahamas and different jurisdictions.
A lawyer for Bankman-Fried declined to remark.
FTX filed for chapter safety in November, saying it was unable to fully repay prospects who had deposited funds on its alternate. FTX’s new CEO, John Ray, has stated his prime precedence was recovering belongings to repay FTX prospects.
Prosecutors have charged Bankman-Fried, 31, with stealing billions of {dollars} in FTX buyer funds to plug losses at Alameda Research, and making tens of thousands and thousands of {dollars} in unlawful political donations to purchase affect in Washington, D.C.
He denies wrongdoing and is preventing to remain out of jail pending his scheduled Oct. 2 fraud trial.
