Originally Posted By -JR⏩

Prosecutors in the Bahamas argued that granting Bankman-Fried bail would go against a treaty with the U.S., which required defendants to be held in custody pending extradition proceedings. Bankman-Fried told the judge he would not waive his right to fight the extradition effort, suggesting he may seek to remain in the Bahamas.

Originally Posted By -JR⏩

Originally Posted By mesobuild⏩

They claimed he hid $300million in aBrazilian fundin September, months before the collapse of his crypto trading platform, as a means of setting himself up for an escape when the inevitable happened.

Referencing an affidavit used to obtain a provisional warrant, Williams said SBF moved more than $300M to a crypto investment firm Modulo Capital in September 2022 ahead of the solvency crisis.

a $400 million stake in Modulo, which one of the people described as a quantitative trading shop,not to be confused with a Brazilian asset manager of the same name

For his part, Williams said Bankman-Fried’s actions to evade physical appearances in the United States evidenced that he has no intention of facing charges in the US.

Originally Posted By gwg77⏩

Originally Posted By gwg77⏩

Originally Posted By chiefnz⏩

Originally Posted By gwg77⏩

A GitHub account bearing the name of former FTX executive Nishad Singh authored code that hid Alameda Research’s ballooning liabilities on the now-collapsed cryptocurrency exchange, according to internal documentation reviewed by Bloomberg News.

The documentation, in the form of comments associated with specific lines of code, offers clues to the origins of a mysterious account on FTX that a regulator alleges helped mask mounting debts of its sister trading firm Alameda Research. The relationship between the two firms, and alleged misuse of FTX customer funds, led to criminal charges against founder Sam Bankman-Fried.

Singh, who was FTX’s engineering director, has not been charged with a crime. GitHub is a programming code repository that companies and individual software developers use to store and share code. GitHub is frequently used to allow developers to work together. It wasn’t immediately clear whether any other FTX employees had access to the account.

The GitHub account bearing his name annotated the code snippets reviewed by Bloomberg with comments including “Korea KYC” and “BD expenses accounts,” the documentation reviewed by Bloomberg News showed.

Alameda shunted debts, which soared to $8 billion, to an FTX customer account that wasn’t easily identifiable as belonging to Alameda, the US Commodity Futures Trading Commission alleged in a civil complaint Tuesday. Bankman-Fried, who founded Alameda and FTX, called it “our Korean friend’s account” and directed it to be created at least partially to mask Alameda’s gaping liabilities, the CFTC alleged.

The so-called Korean account enjoyed the same privileges of Alameda’s main account and sub-accounts, including exemptions from parts of FTX’s risk management policies, the lawsuit said.

Singh and representatives for Bankman-Fried and FTX didn’t immediately respond to requests for comment. Bankman-Fried is being held without bail at a jail in the Bahamas awaiting an extradition hearing in February.

Though Alameda enjoyed virtually unlimited access to FTX customer funds for its own trading purposes since the exchange was created, the firm began to spiral in May, after a $60 billion crypto ecosystem built on tokens TerraUSD and Luna collapsed, and lenders demanded payments. That led Alameda to ramp up its use of FTX customer funds, regulators alleged.

Do Kwon, a South Korean national who was behind TerraUSD, is reportedly in Serbia. A South Korean court issued an arrest warrant for him in September on allegations that he violated capital-markets laws.

Months after the jarring round of margin calls began, Bankman-Fried contemplated closing down Alameda around September, according to the CFTC complaint. He drafted a Twitter thread to announce its closure, saying “I feel really uncertain what’s right!” But Alameda never shut.

Bankman-Fried was jailed Tuesday after US authorities brought eight criminal charges against him, including fraud and conspiracy to commit money laundering. The US Securities and Exchange Commission also sued him.

The CFTC complaint described the “Korean account” as a sub-account of Alameda that was not opened under an “alameda-research.com” identifier and not otherwise readily identifiable as being an Alameda-associated account.

Several days before FTX collapsed into bankruptcy, one of Sam Bankman-Fried’s most senior executives was tipping off Bahamian authorities to possible misuse of funds at the exchange.Ryan Salame, the former co-CEO at FTX Digital Markets, told island regulators on Nov. 9 that client assets were transferred to Alameda Research to “cover financial losses” at the trading firm, court filings show.

Salame further alleged that only three people had the ability to authorize such a transfer: Bankman-Fried, former engineering executive Nishad Singh, and FTX co-founder Gary Wang, according to court filings provided to the Financial Times, which first reported on the existence of the documents.

Salame told the executive director of the Securities and Exchange Commission of the Bahamas that “such transfers were not allowed and therefore may constitute misappropriation, theft, fraud or some other crime,” the filings show. The disclosure triggered an urgent request from Christina Rolle, the executive director, to the local commissioner of police for an investigation, according to emails included in the court filings. Rolle didn’t return an email seeking comment sent outside of normal business hours, and could not be reached by phone.

Originally Posted By Evolutionary1⏩

Bankman-Fried, 30, was arrested Monday in the Bahamas at the request of US authorities and will remain in custody there until his next court appearance on Feb. 8.
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On Tuesday, an indictment charging him with eight counts of fraud, money laundering and other financial crimes was unsealed by a federal prosecutor. He could face up to 115 years in prison if convicted on all eight counts.

Dec 17 (Reuters) - Former FTX CEO Sam Bankman-Fried is expected to appear in court in the Bahamas on Monday to reverse his decision to contest extradition to the United States, where he faces fraud charges, a person familiar with the matter said on Saturday.

The cryptocurrency mogul was indicted in federal court in Manhattan on Dec. 13 and accused of engaging in a scheme to defraud FTX customers.

His decision to consent to extradition would pave the way for him to appear in U.S. court to face charges of using stolen customer deposits to pay for expenses and debts and to make investments on behalf of his crypto hedge fund, Alameda Research LLC.

Originally Posted By mesobuild⏩

Originally Posted By notbadnotbrad⏩