GOT HIM: Bahamian authorities capture crypto con Samuel Bankman-Fried
Karma has finally caught up with the man formerly known as the Crypto King, Samuel Bankman-Fried.
The former co-CEO of FTX was arrested by Bahamian authorities after the United States filed criminal charges against the disgraced billionaire – a day before he was scheduled to testify in front of the House Financial Services Committee.
A statement from the Southern District of New York’s United States Attorney’s office Monday confirmed that a federal indictment prompted the arrest.
“Earlier this evening, Bahamian authorities arrested Samuel Bankman-Fried at the request of the U.S. Government, based on a sealed indictment filed by the SDNY,” United States Attorney attorney Damian Williams said, according to a tweet from the office’s official website.
USA Damian Williams: Earlier this evening, Bahamian authorities arrested Samuel Bankman-Fried at the request of the U.S. Government, based on a sealed indictment filed by the SDNY. We expect to move to unseal the indictment in the morning and will have more to say at that time.
— US Attorney SDNY (@SDNYnews) December 12, 2022
Read the Bahamas’ official statement below.
SBF, as he’s commonly referred to, was wanted for questioning by both the House and Senate about the collapse of his company, which left it $32 billion in the red – millions of clients holding the bag.
Though Bankman-Fried agreed to testify virtually and, under oath, before the House, he refused the Senate Banking Committee’s request.
“Giving that Bankman-Fried’s counsel has stated they are unwilling to accept service of a subpoena, we will continue to work to have him appear before the Committee,” Chairman Sen. Sherrod Brown (D-OH) and Sen. Pat Toomey (R-PA), said in a statement, The Hill reported. “He owes the American people an explanation.”
The cryptocurrency grifter allegedly misappropriated customer deposits, by directing them to his fledgling company, Alameda Research – something FTX assured its customers wouldn’t happen.
Lack of corporate oversight and mismanagement of finances are just some of the accusations lobbed at the ex-CEO, who’s feigned ignorance of the inner workings of both FTX’s and Alameda’s operations.
Now bankrupt, FTX’s new Chief Executive, John J. Ray III, condemned the running of the company, saying, “Never in my career have I seen such a complete failure of corporate controls, and such a complete absence of trustworthy financial information as occurred here,” according to The Daily Beast.
Bankman-Fried left the United States and now resides in the Bahamas. The former billionaire claims to have just $100,000 left to his name.
Attorney General of the Bahamas, Sen. Ryan Pinder KC, released a statement on SBF’s arrest on Monday by the Royal Bahamas Police.
Bahamas Prime Minister Edward “Brave” Philip Davis, said, “The Bahamas and the United States have a shared interest in holding accountable all individuals associated with FTX who may have betrayed the public trust and broken the law.”
While the United States is pursuing criminal charges against BF individually, The Bahamas will continue its own regulatory and criminal investigations into the collapse of TX, with the continued cooperation of its law enforcement and regulatory partners in the United States and elsewhere.
On 12 December 2022, the Office of the Attorney General of The Bahamas is announcing the arrest by The Royal Bahamas Police Force of Sam Bankman-Fried (“SBF”), former CEO of FTX. pic.twitter.com/CRNeLPAbVp
— Latrae L. Rahming (DOC)🇧🇸 (@latraelrahming) December 12, 2022
Bankman-Fried recently appeared in an interview where he admitted to the host that nearly $40 million was secretly donated to the Republican party – otherwise known as “dark money.”
In mid-November, the shameless scammer was named in a class action suit along with celebrities who endorsed the crypto exchange, including Tom Brady, his soon-to-be ex-wife Gisele Bundchen and Larry David, by investors claiming to have lost $11 billion.
Apparently, the now hundred-thousand-dollar king has reached the find-out portion of his shenanigans.
Original reporting by Noah Kirsch and AJ McDougall at The Daily Beast.
Follow Ty Ross on Twitter @cooltxchick
