Federal authorities have seized nearly $700 million from FTX founder Sam Bankman-Fried, largely from shares of Robinhood that he owned.
A courtroom submitting from Friday reveals that the federal authorities seized greater than 55 million shares of Robinhood inventory together with tens of hundreds of thousands of {dollars} from every of a number of financial institution accounts.
Bankman-Fried was arrested final month within the Bahamas and extradited to the US to face fees together with wire fraud, cash laundering and conspiracy to commit fraud as a part of an alleged scheme to defraud buyers.
Prosecutors have alleged that Bankman-Fried used funds from buyers for his personal functions to fund investments from his hedge fund, Alameda Analysis, purchase actual property and to make political donations.
He pleaded not responsible to all fees earlier this month. He has mentioned he has not stolen any cash, and FTX’s prospects ought to have the ability to get their a reimbursement regardless of the cryptocurrency change’s chapter declaration in November.
Federal authorities have mentioned Bankman-Fried used the cash that buyers meant to place into FTX to purchase the Robinhood shares.
The whole worth of the shares seized is greater than $500 million. 5 of the sums that officers seized had been accounts held within the identify of “FTX Digital Markets,” whereas three had been for all cash, property and funds contained in three accounts for Binance, one other cryptocurrency change.
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