Former FTX founder Sam Bankman-Fried arrested in Bahamas

December 13, 2022:- The Bahamas Police arrested Former FTX founder Sam Bankman-Fried, on Monday evening, from the Bahamas. According to the Press Release statement, the former FTX founder got arrested after U.S. prosecutors filed an indictment against him that stated “financial offenses” against laws in the Bahamas & US. Source: Internet

The officials in the Bahamas arrested Bankman after 6 pm from his apartment complex in Nassau, Bahamas. The statement released by the Royal Bahamas Police Force on Monday says Bankman will appear in Bahamian court on Tuesday.

  Mr. Bankman was scheduled to testify in front of the House Financial Service Committee, along with John Ray III, current CEO of FTX on December 13, 2022. The arrest came just a day before for the 30-year-old. His arrest marks a drastic fall from power, who dominated well in bitcoin and other digital assets, becoming a billionaire within a short span of time.   Since November, FTX and its founder Mr. Bankman was under intense scrutiny, after he and his company sought rescue from an opposing exchange. The company then filed for bankruptcy after FTX failed to honor customers’ withdrawal requests.   As per reports from a reliable source, FTX owes its creditors almost $3 billion. The investigation is going on regarding whether the company used customer funds to provide money to Bankman’s investment firm, Alameda Research. Alameda Research is a crypto-currency trading firm, co-founded in September 2017 by Sam Bankman & Tara Mac Aulay.   U.S. Attorney Damian Williams released a statement after Bankman’s arrest on Monday saying, they are expecting to move to unseal the charges in the morning and will then speak about the matter with clarity and patience.   Gurbir Grewal, the agency’s enforcement chief on Tuesday tweeted about the case which says, on Tuesday the Exchange Commission and Securities are all set to charge the former FTX founder with disobeying securities law in the US.   Rep Maxine Waters, heading the House Financial Services Committee commented on the matter saying, the people in the US are waiting desperately for the answers, but the arrest prohibited them from having this opportunity to listen to his words. He also said that although Bankman will be held accountable by the higher authority, the people of America should get a chance to listen to him directly speaking about his actions that harmed millions of people, wiping out their hard-earned savings for a wrong purpose.   The Bahamian Attorney general office confirmed that Bankman will be handed over to the United States shortly. A spokesman from the Attorney's office said that Bankman refused to comment or say anything about the charges.   Last month, FTX was charged with bankruptcy in the US, restricting users to withdraw their funds. It is not sure how much people (who have funds in the exchange) will get back after the end of the proceedings. As per the report, customers will get a small amount of what they have deposited. More News In a series of candid conversations with media personalities, Mr. Bankman has accepted the fact that mistakes were made at his firm, but he is trying to stay away from charges of illegal activity. He added saying that he did not even try once to commit fraud.   Sam Bankman Fried, also known as SBF, is the founder and former CEO of FTX, the cryptocurrency exchange in the US. Born on March 6, 1992, Bankman is also the co-founder of a trading firm, Alameda Research. Bankman resigned as the CEO of FTX on November 11, 2022, after his company was charged with Chapter 11 Bankruptcy.   The former founder of FTX was also a major donor to Democratic Party candidates. He started his career as an intern at Jane Street Capital and finally founded the crypto-currency company in the US.