Sam Bankman-Fried charged with paying $40M bribe to China

Photo: AP (Fair Use)

A recently revised indictment unveiled on Tuesday accuses Sam Bankman-Fried, the founder of FTX, of orchestrating $40 million in bribes to one or more Chinese officials in exchange for unfreezing assets related to his cryptocurrency business.

The new charge of conspiring to violate the Foreign Corrupt Practices Act’s anti-bribery provisions brings the total number of charges against Bankman-Fried to 13 since his arrest in the Bahamas in December, followed by extradition to the United States.

FTX declared bankruptcy on November 11 after experiencing a cryptocurrency equivalent of a bank run that depleted its funds. Bankman-Fried, who has been out on a $250 million personal recognizance bond, has been staying with his parents in Palo Alto, California, throughout the proceedings.

He has pleaded not guilty to accusations of defrauding investors out of billions of dollars before his company’s collapse, the Associated Press reported.

The alleged bribes originated from Alameda Research’s operations, which is connected to FTX, Bankman-Fried’s international cryptocurrency exchange.

Written by staff