CFTC Sues Bankman-Fried, FTX and Alameda for Law Violations (bloomberg.com) 24
The Commodity Futures Trading Commission sued Sam Bankman-Fried, FTX and Alameda Research for violations of federal commodities laws. From a report: The top US derivatives regulator claims Bankman-Fried and other FTX executives took hundreds of millions of dollars in loans from Alameda they used to buy real estate and make donations to politicians. "At Bankman-Fried's direction, FTX executives created features in the underlying code for FTX that allowed Alameda to maintain an essentially unlimited line of credit on FTX," the CFTC said in a complaint filed Tuesday in Manhattan federal court. Further reading: SEC Charges Sam Bankman-Fried With Defrauding Investors in FTX; and FTX Founder Arrested.
Look two stories down in the feed (Score:1)
Re: (Score:2, Insightful)
Re: (Score:2)
Indeed. SBF was lobbying to get crypto assets regulated as commodities rather than securities, because the CTFC has less teeth than the SEC does. That classification debate might be used to dodge one of these lawsuits, but that would then strengthen the government's case in other lawsuit.
Re: (Score:2)
Nope, that's someone else trying to fry the bankman.
Everyone wants a piece of that cake before it's eaten.
Bankman-Fried better make an deal to go to camp (Score:2)
Bankman-Fried better make an deal to go to an camp prison. As that kid will not have an good time in an harder one.
Re: (Score:2)
Re:Bankman-Fried better make an deal to go to camp (Score:4, Interesting)
not if you are changed with money laundering
Re:Bankman-Fried better make an deal to go to camp (Score:4, Interesting)
That's simply not true. Money laundering is still a white-collar crime. And as someone with no previous criminal history, he'll most certainly go to a minimum security prison.
Re:Bankman-Fried better make an deal to go to camp (Score:4, Insightful)
Depends only on whether the money you embezzled belonged to normal people or bigger crooks than yourself. In the latter case, you're fucked.
Re: (Score:3)
Bullshit. https://www.crimemuseum.org/cr... [crimemuseum.org]
22 months for hundreds of millions in fraud.
Re: (Score:2)
Bullshit. https://www.crimemuseum.org/cr... [crimemuseum.org]
22 months for hundreds of millions in fraud.
I believe the poster above was indicating he won't go to a maximum or even a medium security prison. Belfort served in low-security, Taft Correctional. [wikipedia.org]
Re: (Score:2)
If there is a god? Hell.
Re:Bankman-Fried better make an deal to go to camp (Score:4, Funny)
Where do you think white collar criminals usually go?
Congress?
Re: (Score:1)
Ding, ding, ding, we have a winner! The biggest ones become presidents.
Re: (Score:2)
I don't really think it's clear he's committed any crimes besides incompetence and negligence. But absence of any evidence of deliberate fraud, I'm not sure he's done anything that will merit serious jail time. It may seem unfair, but you can't jail people for stupid.
Re: (Score:2)
In a white collar jail with minor celebrities like Tommy Chong. https://www.businessinsider.co... [businessinsider.com]
Re: (Score:3)
He's a white collar criminal. While I might think that white collar criminals should all do hard time, the powers that be don't want to send their friends to actual prisons.
The person robbing the liquor store threatens a few people, maybe kills a couple more, it's bad and they should be in prison.
Many white collar criminals wipe out the assets of dozens to millions of people and/or some businesses. This threatens the live
Re: (Score:2)
Bummer! (Score:1)
Say it ain't so! (Score:2)
People get sued because of law violations?
Third SBF Article On This Page (Score:1)
Plus one more about a run on Binance.
Can we please call it a day?
The new CEO is still in denial (Score:2)
"FTX Groupâ(TM)s collapse appears to stem from the absolute concentration of control in the hands of a very small group of grossly inexperienced and unsophisticated individuals who failed to implement virtually any of the systems or controls that are necessary for a company that is entrusted with other peopleâ(TM)s money or assets."
No, that is not what it stemmed from. No-one seems prepared to name the obvious: the reason for the collapse is that there was a whole industry with hundreds of billi