“$5 Billion Recovered by FTX Amid Allegations of ‘Epic’ Fraud by Former CEO Sam Bankman-Fried”

Ftx scandal involves the former chief executive sam bankman-fried, co-founders gary wang and caroline ellison, and other unnamed customers and investors who have suffered losses. us prosecutors have accused bankman-fried of orchestrating an “epic” fraud, and it has been estimated that $8bn of customers’ funds is missing. tom brady, giselle bündchen, and robert kraft were also mentioned in court filings.

Scandal came to light in the us bankruptcy court, where it was revealed that the extent of the losses to customers is still unknown. it was reported that ftx was valued at $32bn a year ago, and assets seized by the securities commission of the bahamas were not included in the recovered funds.

Us federal prosecutors have accused mr bankman-fried of misappropriating ftx customers’ funds. he was released from detention on $250m bail and has pleaded not guilty to the charges. in an interview with bbc news before his arrest, he said he did not knowingly commit fraud. the authorities said ftx co-founders and former head of alameda are cooperating with the investigation, though the reason for the fraud is still unclear.


By Evey Lovelace

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