Within the aftermath of the FTX trade liquidity disaster and chapter, United States and Bahamian authorities are reportedly discussing the potential for extraditing Sam Bankman-Fried, former CEO of the corporate, again to the U.S. for questioning.
In keeping with a Bloomberg report citing individuals acquainted with the matter, conversations between native law-enforcement officers, together with the FBI, escalated in latest days as they investigated Bankman-Fried’s position within the downfall of the trade
Because the incident, the previous FTX CEO, co-founder Gary Wang and the director of engineering Nishad Singh are identified to be within the Bahamas, the place they’re “below supervision” by the native authorities.
Initially, rumors surfaced of Bankman-Fried doubtlessly trying to flee to Dubai. Nonetheless, because of an settlement between the U.S. and the United Arab Emirates, U.S.-based fugitives making an attempt to relocate to Dubai have a excessive probability of being detained and returned.
At the moment, it’s identified that Bahamian securities regulators and monetary investigators have opened an investigation into the scenario surrounding the autumn of FTX for legal misconduct. Monetary authorities in Turkey have additionally launched an investigation into the trade.
FTX filed for chapter on Nov. 11 and on the identical day, Bankman-Fried stepped down from his place as CEO of the corporate, which was stuffed by restructuring govt John Jay Ray III. The most recent filings from the chapter case revealed that FTX could possibly be accountable to over a million collectors.
Associated: Bahamas’ supreme court docket approves ‘provisional liquidators’ for FTX
Some speculate the previous CEO will face little repercussions for his actions. Nonetheless, as of Nov. 14, almost 4,000 individuals signed a petition demanding that Congress formally look into U.S. Securities and Trade Fee head Gary Gensler’s “actions within the FTX fraud.”
Within the first days of the disaster, Minnesota Republican lawmaker Tom Emmer mentioned he had motive to imagine Gensler had ties with FTX for regulation functions. Emmer mentioned he was wanting into the matter.
Because the trade went up in flames, lawmakers within the U.S., together with the White Home, have known as for extra stringent crypto regulation.
