FTX's Sam Bankman-Fried Attempted To Regain Control Of Bankrupt Crypto Exchange

  • Beleaguered crypto exchange FTX founder Sam Bankman-Fried tried to stop bankruptcy proceedings in the U.S. in November to transfer assets from his crypto exchange to foreign regulators.
  • According to federal prosecutors, Bankman-Fried expected lenient treatment from foreign regulators, eventually allowing him to regain control of FTX.
  • Last month, the Manhattan U.S. attorney’s office charged Mr. Bankman-Fried for stealing billions of dollars from FTX customers and misleading investors.
  • Earlier this month, FTX recovered more than $5 billion in cash and other liquid assets. Still, the amount of customer losses is yet to be ascertained, an attorney for FTX told a U.S. bankruptcy court.
  • Last week, Mr. Bankman-Fried’s lawyers asked a judge to remove bail conditions that prohibit him from accessing assets held by FTX and his investment firm Alameda, Wall Street Journal writes.
  • “We are deeply grateful for what The Bahamas has done for us and deeply committed to it,” according to prosecutors, Mr. Bankman-Fried wrote in the letter. “We are also deeply sorry about this mess.” 
  • Most recently, FTX and its affiliated debtors have asked the U.S. Bankruptcy Court in the District of Delaware to exclude two of its subsidiaries in Turkey, FTX Turkey and SNG Investments, from the ongoing bankruptcy case.
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