Claim BonusBreaking: Ex-FTX CEO SBF Using Alameda Money For Legal Defense: Forbes
Former FTX CEO Sam Bankman-Fried is reportedly using Alameda Research funds to pay for hefty legal fees charged by his lawyers for his high-profile criminal fraud lawsuit that costs investors billions of dollars.
While Sam Bankman-Fried has denied all charges against him, recent reports have revealed bribery and market manipulation to great extent done when he was the CEO of crypto exchange FTX.
Allegations Against Sam Bankman-Fried Continues to Rise
Sam Bankman-Fried had just $100,000 in his bank account during the bankruptcy filing, but he hired some top attorneys for his legal defense. The $250 million bail bond even created drama with many questioning how he is paying for the lawsuits.
According to a new report by Forbes, Sam Bankman-Fried made a large monetary gift to his father Stanford Law professor Joseph Bankman in 2021 under lifetime estate and gift tax exemption. SBF is paying high legal fees from the same “multi-million dollar gift” he paid by borrowing from FTX’s sister company Alameda Research.
SBF has pleaded not guilty to 12 criminal charges including wire fraud, money laundering, and securities fraud. A new indictment of violating the Foreign Corrupt Practices Act for giving a bribe of $40 million to Chinese government officials.
FTX debtors revealed earlier that Sam Bankman-Fried improperly received $2.2 billion in loans from the company. Despite accounting for all funds, $8.9 billion in customer deposits are still missing.
Furthermore, Genesis executives were offered to invest in FTX Token (FTT) at discounted rates. Genesis executives’ presale access to FTT and Serum tokens gave them an opportunity to maximize profit by investing before the tokens were issued to the public.
Meanwhile, Former CEO Sam Bankman-Fried reached an agreement with US prosecutors on new bail conditions set forward after modifications agreed upon by both parties, allowing SBF a phone without internet and a laptop with limited access to the internet.
Also Read: XRP Price Spikes By 18%, Breaches $0.56 level; What’s Happening?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- U.S. SEC Ends Zcash Foundation Probe as Dubai Tightens Rules on Privacy Tokens
- Sui Network Suffers Outage as Mainnet Stalls; SUI Price Flat
- Crypto ETF News: Bitwise Launches Chainlink ETF as Institutional Inflows Return
- Breaking: Supreme Court Delays Ruling on Trump Tariffs; May Decide January 16
- Senators Make Amendments To CLARITY Act On Yield and DeFi Ahead Of Crypto Bill’s Markup
- Bitcoin Price Forecast: How the Supreme Court Tariff Decision Could Affect BTC Price
- Ethereum Price Prediction as Network Activity Hits ATH Ahead of CLARITY Markup
- Robinhood Stock Price Prediction: What’s Potential for HOOD in 2026??
- Cardano Price Prediction as Germany’s DZ Bank Gets MiCAR Approval for Cardano Trading
- Meme Coins Price Prediction: What’s Next for Pepe Coin, Dogecoin, and Shiba Inu Amid Market Rally?
- Standard Chartered Predicts Ethereum Price could reach $40,000 by 2030
