KEY POINTS
- Bankman-Fried is currently out on a $250 million bail package
- He is facing over 100 years in imprisonment if convicted
- His next trial is set for Oct. 2, 2023
Sam Bankman-Fried, the disgraced former CEO and founder of the crypto empire FTX, is facing four additional charges in an indictment unsealed Thursday that also alleged he influenced the 2022 U.S. election by using straw donors.
While Bankman-Fried already pleaded not guilty to defrauding customers and investors last year, it seemed that U.S. officials are not yet done filing charges against the wonder boy of the crypto space.
On Thursday, U.S. officials charged Bankman-Fried with bank fraud and operating an unlicensed money transmitter in addition to the eight counts of charges he is already facing. The embattled crypto mogul is also facing a modified campaign-finance law charge and conspiracy to make unlawful political contributions.
U.S. officials alleged in the indictment that Bankman-Fried, in his desire to open a bank account, “falsely represented to a financial institution that the account would be used for trading and market making,” when it was used to transmit and receive customer funds, the court filing alleged.
Prosecutors also accused Bankman-Fried of “exploiting the trust that FTX customers placed in him and his exchange,” and “stole FTX customer deposits and used billions of dollars in stolen funds for a variety of purposes.”
U.S. prosecutors previously charged Bankman-Fried with conspiracy to commit wire fraud on customers; wire fraud on customers; conspiracy to commit wire fraud on lenders; wire fraud on lenders; conspiracy to commit commodities fraud; conspiracy to commit securities fraud; conspiracy to commit money laundering; and conspiracy to commit money laundering and conspiracy to defraud the U.S. and violate campaign-finance laws.
The indictment, which was unsealed Thursday, also alleged that the former FTX CEO used a couple of executives to make multi-million donations to U.S. political candidates in the days leading to the November 2022 election.
Bankman-Fried and his two associates “made over 300 political contributions, totaling tens of millions of dollars, that were unlawful because they were made in the name of a straw donor or paid for with corporate funds,” the indictment revealed.
Bankman-Fried and other conspirators “agreed to and did make corporate contributions to candidates and committees in the Southern District of New York that were reported in the name of another person,” the court filing alleged.
“The money used to make these political donations originated from Alameda bank accounts and included funds that had been deposited by FTX customers,” officials further alleged.
This indictment, which is a grand jury indictment, supplants the previous indictment in December and charges him with conspiracy to make unlawful political contributions and defrauding the Federal Election Commission.
Bankman-Fried is currently out on a $250 million bail package and is facing over 100 years in imprisonment if convicted. His next trial is set for Oct. 2, 2023.
