Explosive New Report Reveals FTX Vast Criminal Network
WILMINGTON, DE – A newly released report from FTX CEO John J. Ray III and his restructuring team sent shockwaves through the financial world this week, shedding light on a complex web of alleged criminal activities and fraud at the defunct crypto exchange and its related hedge fund, Alameda Research. The report reveals that the company’s crimes were greater and wider than first thought.
The most damning revelation in the report is the claim that FTX executives were aware as early as August 2022 that the exchange was missing $8 billion in customer funds. This directly contradicts previous statements made by former CEO Sam Bankman-Fried (SBF) and other executives who portrayed the company’s situation as stable. Moreover, the report describes SBF’s direct involvement in furthering the fraudulent activities, painting a disturbing picture of his alleged complicity.
Another revelation that further confounds SBF’s legal troubles is the mention of a “Payment Agent Agreement,” a document meant to present the flow of FTX customer deposts through Alameda Research bank accounts as a deliberate arrangement rather than an act of negligence or fraud. This document was backdated to June 1, 2019, despite being created in April 2021.
Moreover, SBF physically signed the backdated document rather than using an electronic means like DocuSign, which he commonly used. The physical signature indicates the intention to avoid generating metadata that could reveal the document was not signed in 2019, further implying conspiracy to commit and conceal fraud.
It is currently unknown whether the evidence in this newest report will be admitted as evidence in SBF’s October 2 criminal trial, it appears highly likely that much of it will be scrutinized. As legal proceedings unfold, the revelations from this report could have far-reaching implications, but how far remains to be seen.
