Feds have seized nearly $700M from FTX founder Sam Bankman-Fried

Federal authorities have seized nearly $700 million from FTX founder Sam Bankman-Fried, principally from shares of Robinhood that he owned. 

A courtroom submitting from Friday reveals that the federal authorities seized greater than 55 million shares of Robinhood inventory together with tens of thousands and thousands of {dollars} from every of a number of financial institution accounts. 

Bankman-Fried was arrested final month within the Bahamas and extradited to america to face fees together with wire fraud, cash laundering and conspiracy to commit fraud as a part of an alleged scheme to defraud buyers. 

Prosecutors have alleged that Bankman-Fried used funds from buyers for his personal functions to fund investments from his hedge fund, Alameda Analysis, purchase actual property and to make political donations. 

He pleaded not responsible to all fees earlier this month. He has stated he has not stolen any cash, and FTX’s clients ought to be capable of get their a refund regardless of the cryptocurrency alternate’s chapter declaration in November. 

Federal authorities have stated Bankman-Fried used the cash that buyers meant to place into FTX to purchase the Robinhood shares. 

The whole worth of the shares seized is greater than $500 million. 5 of the sums that officers seized have been accounts held within the identify of “FTX Digital Markets,” whereas three have been for all cash, property and funds contained in three accounts for Binance, one other cryptocurrency alternate.