Disgraced crypto founder indicted over illegal political donations [Video]
WHAT YOU NEED TO KNOW:
- Former FTX CEO and co-founder Sam Bankman-Fried was arrested in the Bahamas on Monday.
- He is expected to be extradited to the U.S. under an indictment alleging several campaign finance violations.
- The indictment accused Bankman-Fried of making illegal political donations using other people’s names.
Sam Bankman-Fried, former CEO and co-founder of cryptocurrency exchange FTX, has been arrested by authorities in the Bahamas on Monday. The disgraced crypto founder is potentially facing multiple charges, including conspiracy to commit wire fraud, conspiracy to commit securities fraud, and laundering money. He is also accused of making political donations “in the names of other persons.”
The indictment from the Southern District of New York accused Bankman-Fried and unnamed others of conspiring to “defraud the United States” in several ways, such as “knowingly and willfully make contributions to candidates for federal office, joint fundraising committees, and independent expenditure committees in the names of other persons.”
The website of the Federal Election Commission (FEC) states that “Contributions in the Name of Another are Strictly Prohibited.” It added, “Reimbursing someone for a contribution or otherwise contributing in the name of another person can result in substantial civil penalties and jail time.”
According to the indictment, Bankman-Fried and unnamed others illegally donated over $25,000 in a calendar year, violating campaign finance regulations.
Bankman-Fried was publicly known as one of the largest donors for the Democrats, but he recently revealed that he donated an equal amount to the Republicans through non-public methods.
The former CEO said in an interview, “All my Republican donations were dark. The reason was not for regulatory reasons, it’s because reporters freak the f- out if you donate to Republicans. They’re all super liberal, and I didn’t want to have that fight.”
Last week, the FEC received a complaint from the Citizens for Responsibility and Ethics in Washington over Bankman-Fried’s use of dark money groups to hide his Republican donations.
Bankman-Fried is expected to be extradited to the U.S. soon.
December 14, 2022 at 6:48 pm
My money says he was donating to Democraps.
December 14, 2022 at 9:36 pm
Yeah I know “Let’s get rid of crypto before spy cash starts “. You can’t have block chain technology.