The unnamed source disclosed that DOJ representatives spoke with FTX’s court-appointed monitors to determine the extent of the data they require for additional inquiry.
Sam Bankman-Fried (SBF), CEO of FTX, cannot fall between the gaps like many cryptocurrency scammers did in the past (SBF). Parallel to the current investigation into the FTX scams, the US Department of Justice (DOJ) is apparently looking into a possible fraud that involves SBF diverting money to an overseas account just days before FTX declared bankruptcy.
The government probe, according to a Bloomberg story, wants to investigate SBF’s role in fraudulently transferring FTX cash to the Bahamas after the defunct cryptocurrency exchange filed for bankruptcy on November 11.
The unnamed source also disclosed that DOJ representatives spoke with FTX’s court-appointed monitors about the breadth of the data they require for further inquiry. The DOJ also intends to look into any unauthorized transfers of FTX funds to Alameda Research by SBF.
Given SBF’s deep ties to American politics, it is surprising that he has not yet been prosecuted with any crimes and that he is still active on Twitter from unidentified locations.
On December 9, CZ referred to Bankman-Fried as a “fraudster” on Twitter and asserted that Binance departed FTX in July 2021 as a result of its “increasing concern with Alameda/SBF.” The former CEO of FTX responded online to the claims made by the CEO of Binance that SBF was “unhinged” about the exchange departing.
In November, just before FTX filed for bankruptcy, Bankman-Fried attacked CZ for publicly reprimanding FTX and gave details on the discussions between the exchanges at that time.
Financial Times reports that Taylor Swift was free to leave FTX without any ties due to a failed $100 million transaction.
Taylor was in discussion with FTX for a sponsorship deal, which would have made her one of the faces representing the failed crypto exchanges. While the musician initially refrained from signing the deal as it was expensive, FTX’s bankruptcy shut down the discussion permanently.