Squeeze of Legal Prosecutions on FTX Bring former Associates in Same Ring 

Legal troubles spiraled after crypto exchange FTX went bankrupt, leading two former close mates to stand in front of each other. 

Sinked in a Blink 

According to CNN, 28 year-old Ellison, former CEO of FTX’s trading desk, apologized in Federal Court in New York, confessed that she and other former associates knowingly stole billions from SBF-led FTX. “I understood that if Alameda’s FTX accounts had significant negative balances in any particular currency, it meant that Alameda was borrowing funds that FTX’s customers had deposited onto the exchange,” Ellison admitted in front of the Judge. 

Sam Bankman-Fried, FTX former CEO and co-founder, was extradited to the United States in the course of bail granted on a $250 million bond, kept by his parents against an equity of their $4 million home apartment in Palo Alto, California. He is ordered to stay under “strict” supervision until all the FTX saga is resolved. 

Recently, workers were found installing security cameras at his parents’ home. Additionally, his exact location will be tracked by an electronic wrist bracelet. Furthermore, the broke SBF is not allowed to travel out of the country, with his passport seized. His mid-December holidays were spent in Bahamas’ only prison, FOX Hill, between overcrowded and thoughtful sanitary conditions. 

Associates— At World’s End

As reported by CNBC, FTX co-founder Gary Wang and Ellison pleaded guilty to federal charges, as stated by Damian Williams, the U.S. attorney for the Southern District of New York. Both are charged with civil complaints by the Commodities Futures Trading Commission (CFTC) and Securities and Exchange Commission (SEC).

As The Verge stated last week, noted the statement of U.S. Attorney’s Office Southern District of New York : 

CAROLINE ELLISON, 28, is charged with and has pled guilty to two counts of conspiracy to commit wire fraud, each of which carry a maximum sentence of 20 years in prison; two counts of wire fraud, each of which carry a maximum sentence of 20 years in prison; one count of conspiracy to commit commodities fraud, which carries a maximum sentence of five years in prison; one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison; and one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison.

GARY WANG, 29, is charged with and has pled guilty to one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; one count of conspiracy to commit commodities fraud, which carries a maximum sentence of five years in prison; and one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison.

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

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