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The group of creditors, led by Sunil Kavuri, cited several concerns, including forced taxation, which would compromise creditors’ best interests.
A group of FTX creditors, led by Sunil Kavuri, has filed an objection to FTX’s bankruptcy reorganization plan. They reject it on several grounds, including the assertion that it does not serve the best interests of the creditors.
The creditors argued that being reimbursed with cash would trigger a taxable event, causing the creditors to incur undue costs. Reimbursement of assets in-kind was listed in the objection as a possible remedy.
Moreover, the creditors objected to the release of funds to the debtors—the FTX estate—citing Chapter 11 law, ultimately claiming that the FTX bankruptcy estate was attempting to distribute stolen assets.
A US judge has sentenced Ryan Salame, one of the top executives of the collapsed crypto empire FTX, to 7.5 years in prison. Judge Lewis A. Kaplan issued the sentence on Tuesday following Salame’s guilty plea to conspiracy to make unlawful political contributions and defraud the Federal Election Commission and conspiracy to operate an unlicensed […]
The post Former FTX and Alameda Executive Ryan Salame Handed 90-Month Prison Sentence, Ordered To Pay Over $11,000,000 appeared first on The Daily Hodl.
U.S. authorities had requested a judge impose a sentence of five to seven years on the former FTX Digital Markets co-CEO, but one ordered Ryan Salame to spend 90 months in prison.
Months after his guilty plea to prosecutors, former FTX Digital Markets co-CEO Ryan Salame learned he would likely be spending more than seven years in federal prison after pleading guilty to two felony charges.
On May 28, Judge Lewis Kaplan of the U.S. District Court for the Southern District of New York considered sentencing recommendations from Salame’s legal team and prosecutors and ordered the former FTX executive to spend 90 months in prison. The judge’s decision reflected more time behind bars than even prosecutors recommended — up to seven years — and was considerably higher than what Salame’s lawyers requested: 18 months.
Taking to X for the first time since November 2022, Salame said the situation was “going to get interesting quickly” without directly referring to his sentencing and suggested he had no plans to flee the United States as “family [was] more important than anything.” A May 14 court filing stated that Salame had a child with his partner, Michelle Bond, in November 2023.
The bankrupt crypto exchange FTX paid more than $25 million worth of hush money to whistleblowers before collapsing in November 2022, according to a new report from a court-appointed examiner. Earlier this year, the U.S. Department of Justice (DOJ) tapped Robert J. Cleary, a lawyer who served as the lead prosecutor on the Unabomber case, […]
The post FTX Paid More Than $25,000,000 in Hush Money to Whistleblowers, According to Court Examiner appeared first on The Daily Hodl.
An independent probe found that Sullivan & Cromwell was not complicit in the now-defunct exchange's fraud.
An independent investigation into Sullivan & Cromwell LLP, the law firm that oversaw the FTX bankruptcy, found that the firm was unaware of the dire financial conditions and underlying fraud that led to the collapse of the once-thriving exchange.
Former U.S. prosecutor Robert Cleary conducted the investigation and noted that while attorneys at Sullivan & Cromwell did make false statements while representing FTX, they did so without knowing the statements were false.
After the findings of the investigation were made public, Sullivan & Cromwell released the following statement:
Records show Sam Bankman-Fried was in the Federal Transfer Center in Oklahoma City, suggesting authorities may still transfer him to a prison in California.
Former FTX CEO Sam “SBF” Bankman-Fried is no longer incarcerated in New York or California, where his parents own a home — according to prison records, he’s in Oklahoma.
As of May 23, inmate records for the Federal Bureau of Prisons showed that Bankman-Fried was being held at the Federal Transfer Center in Oklahoma City. According to the Office of the Inspector General for the U.S. Department of Justice, the facility confines inmates on a “short-term basis” for transfers within the prison system.
SBF’s relocation to Oklahoma, coupled with reports from May 22, suggested that authorities may transfer the former FTX CEO from the Metropolitan Detention Center (MDC) in Brooklyn to the Federal Correctional Institution (FCI) in Mendota. The transfer appeared to have happened despite Judge Lewis Kaplan of the U.S. District Court for the Southern District of New York recommending SBF stay at MDC Brooklyn.