1 year ago
The U.S. Department of Justice (DOJ) alleged that Sam Bankman-Fried (SBF) released the backstage diary of Caroline Ellison to reporters from the New York Times, according to a July 20 letter to Judge Lewis Kaplan.
On June 20, the New York Times published Ellison’s backstage writings detailing her narration with the disgraced erstwhile FTX CEO and however her enactment relation astatine Alameda Research overwhelmed her. The study noted that Ellison’s grounds could beryllium captious successful SBF’s trial.
The DOJ argued that SBF released the missive arsenic portion of efforts to “interfere with a just proceedings by an impartial jury,” adding that the merchandise specifically aimed to “publicly discredit a authorities witness” and perchance bias the assemblage against her (“taint the assemblage pool”).
“In summation to tainting the assemblage pool, the effect, if not the intent, of the defendant’s behaviour is not lone to harass Ellison, but besides to deter different imaginable proceedings witnesses from testifying”
As a result, the authorities privation the Judge to bounds the extrajudicial statements made by parties and witnesses progressive successful the case.
FTX files to retrieve $1B from erstwhile apical executives
Bankrupt crypto speech FTX filed a suit to retrieve much than $1 cardinal allegedly misappropriated by its erstwhile apical executives, including SBF, Ellison, CTO Zixiao “Gary” Wang, and Nishad Singh, according to a July 20 tribunal filing.
According to the filing, the defendants breached their fiduciary duties and allegedly misappropriated hundreds of millions of dollars belonging to FTX.
“Defendants abused their power implicit the FTX Group to perpetrate 1 of the largest fiscal frauds successful history. Beginning soon aft the inception of the FTX Group, Defendants misappropriated Debtor funds connected a continuous ground to concern luxury condominiums, governmental and ‘charitable’ contributions, speculative investments and different favored projects.”
The filing fundamentally rehashes the executives’ actions that led to the illness of FTX, pointing retired however they placed their interests supra the companies they were managing.
The bankrupt steadfast claims that the fraudulent transfers made by the apical executives were implicit $1 billion, adding that it mightiness observe further transfers arsenic the lawsuit proceeds.
All the apical executives named successful this lawsuit, except for SBF, person pleaded guilty to transgression charges brought against them by the U.S. government.
Alleges SBF’s begetter is backing his defence with the institution funds
Meanwhile, FTX claimed that Bankman-Fried is supporting his defense done a $10 cardinal acquisition helium gave his begetter successful January 2022.
According to the lawsuit, SBF illegally ordered the transportation from an FTX US relationship containing the debtors’ assets to his relationship connected the aforesaid exchange. He aboriginal transferred this money to his father’s account.
FTX stated that SBF’s begetter transferred $6.775 cardinal of this money to idiosyncratic accounts astatine Morgan Stanley and TD Ameritrade, leaving lone $3.225 cardinal successful his FTX US account. However, the FTX US relationship equilibrium is near with $2.2 cardinal owed to losses connected crypto trades.
The station DOJ accuses SBF of leaking Caroline Ellison’s backstage diary to taint trial; FTX sues erstwhile executives for $1B appeared archetypal connected CryptoSlate.
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