Law enforcement in the Bahamas has apprehended FTX founder Sam Backnman-Freed after receiving demands from the US. This was announced by Attorney for the Southern District of New York Damian Williams. As per Bahamas Attorney Ryan Pinder, the arrest took place on December 12. The US has levied criminal charges against the founder of FTX. It is expected that American law enforcement agencies will requisition Bankman-Fried to be extradited to the States.

The Prime Minister of the Bahamas, Philip Davis, stated that even though United States law enforcement is taking initiative in the case of FTX’s collapse, the country’s authorities will continue to investigate as well. The charges against Backnman-Fried include wire fraud, conspiracy to commit securities fraud, and money laundering, according to sources from The New York Times. Additionally, the SEC has announced that they will file separate charges against the founder of FTX for violating securities laws; these charges against the founder of FTX for violating securities laws. They should be publicly announced on December 14th.

The founder of FTX was scheduled to speak at a US Senate Banking Committee hearing on December 13. However, committee chair Maxine Waters was frustrated that she wasn’t able to hear what he had to say.

On November 11, 2022, FTX Group filed for insolvency, with Alameda Research included. John Ray, who took over as CEO from the stepping-down Bankman-Fried, accused the previous leaders of the exchange of hiding the illegal use of client funds and exempting Alameda Research from certain aspects of the auto-liquidation protocol without disclosure.

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