back to article FTX fiasco founder SBF faces further fraud charges

FTX founder Sam Bankman-Fried's eight-count indictment related to the collapse of his crypto empire has been superseded by a new 12-count indictment unsealed in New York which provide graphic details about the extent the defunct biz paid off politicians.  In addition to the eight prior charges, some of which have been modified …

  1. The Man Who Fell To Earth Silver badge
    FAIL

    Bizzarre

    It's absolutely bizarre that this clown is out on bail. Especially given his bail is secured with assets worth just a few % of the bail amount.

    1. teknopaul Silver badge

      Re: Bizzarre

      The 300 political donations is just the bribes they know about.

    2. Youngone Silver badge

      Re: Bizzarre

      I find it bizarre that a member of America's ruling class finds himself in front of a judge at all. He must have cheesed off the wrong people.

      I just checked and it doesn't look like the Theranos lady has actually seen the inside of a cell yet so he might never actually face any real consequences either.

      1. chivo243 Silver badge

        Re: Bizzarre

        I thought Ms. Holmes was to report in March? Upon further checking:

        Holmes was sentenced to 11 years and three months in federal prison and will begin serving time on April 27, 2023, allowing her to give birth to her child.

        1. anothercynic Silver badge

          Re: Bizzarre

          Yes, we wouldn't want to have the child living with the stigma of having been born in jail... Unlike many 'lower class' women of all shades who don't get that luxury.

      2. Jedit Silver badge
        Thumb Up

        "He must have cheesed off the wrong people."

        Crypto scams on this scale can only target the rich. So, yes, you're right.

      3. Sorry that handle is already taken. Silver badge

        Re: Bizzarre

        I'm not sure I'd consider this plonker a member of America's ruling class.

        He scammed a bunch of people and threw some money around. As soon as he was no longer useful he was dumped by everyone.

      4. chivo243 Silver badge

        Re: Bizzarre

        You might be onto something!

        https://boingboing.net/2023/03/02/elizabeth-holmes-uses-babies-in-an-attempt-to-delay-her-prison-sentence.html

        late to the party...

    3. Steve Button Silver badge

      Re: Bizzarre

      What's absolutely bizarre is this level of corruption is endemic in the American system. The largest campaign donors get their bought senators to vote for their favoured causes. Your elected representatives are supposed to represent "we, the people" not "corporate greed". And to change that system would be like turkeys voting for Christmas, so it's never going to change. And that's just the out in the open stuff. You've then got the revolving doors. And who knows what brown envelopes are getting passed under the table?

  2. Anonymous Coward
    Anonymous Coward

    Magic beans aren’t cool anymore!

    Oh no!

  3. chivo243 Silver badge
    Facepalm

    padded politicians' pockets

    This explains so much...

    But how does someone pinch billions, move money around, invest it like a drunken sailor, and FINCEN doesn't know?

    1. NeilPost Silver badge

      Re: padded politicians' pockets

      Maybe Kevin McCarthy can authorise a knowledge share with Fox News so we can have a full, honest and open expose.

    2. imanidiot Silver badge

      Re: padded politicians' pockets

      Welcome to the wonderful world of crypto. The sector is largely unregulated and nobody was paying any attention to these relatively new companies. It was almost unheard of for a company to go from zero to moving around billions in as short a time as the crypto boom companies managed. And it's all hot air.

  4. SundogUK Silver badge

    I love the way you talk about it as if Democrats and Republicans were treated equally. In fact only £200,000 went to the Republicans.

    Out of $40,000,000

    That's 200 to 1

    1. Anonymous Coward
      Anonymous Coward

      Do you include all the FTX directors?

      According to this (lengthy) article:

      https://www.coindesk.com/policy/2023/01/17/congress-ftx-problem-1-in-3-members-got-cash-from-crypto-exchanges-bosses/

      you are correct, and Bankman-Fried donated to Democrats. However another FTX director donated $24M to Republicans (and was the 11th-largest political donor in 2022), while a third donated $10M to Democrats. I have no idea whether these should be counted towards the totals (or if they were donating on behalf of Bankman-Fried). This may well end up being sorted out by a long series of court cases.

    2. Anonymous Coward
      Anonymous Coward

      Most of the $40M was allegedly donated illegally via two company officers. One made donations to democrats and the other to republicans. A discussion I saw on the indictment for campaign contribution fraud alleged that one officer directed $25M to conservative Republicans. It did not state how much in total he donated to republicans or democrats but he was clearly a major donor to both parties.

      A few months ago Sam Bankman-Fried was quoted as saying he donated more to Republicans but the anti "Woke" mod as usually ignored reality and have been on a bandwagon all this time branding him a democrat donor.

    3. Anonymous Coward
      Anonymous Coward

      Just to save anyone else having to look it up, NY Times seems to think it's around $55m Democrats to $24m Republicans, among the three of them.

      https://www.nytimes.com/2022/12/17/us/politics/sam-bankman-fried-political-donations-doj.html

      $79 million is only what, 400 years' salary and benefits for a decent senior engineer (outside California)?

  5. Fruit and Nutcase Silver badge

    On this side of the pond

    Not FTX.

    But, Politicians and Crypto, like fleas to a pile of dung...

    https://www.theguardian.com/politics/2023/feb/23/crypto-firm-with-links-to-parliamentary-groups-appears-to-have-vanished

    Is there a bit of a ponzi angle to this?

  6. Awk_ward

    Literally only clicked on this article to go straight the comments.

    The whole Cryptocurrency situation is risible and while the initial idea may potentially have been altruistic, it's nothing more than what the internet has been for the past 2 decades; one great ponzi scheme.

    [Cue Michael Jackson eating Popcorn Meme]

    1. Michael Wojcik Silver badge

      one great ponzi scheme

      No, it really isn't.

      A Ponzi scheme is a particular type of fraud. There are many types of fraud being perpetuated with cryptocurrency, DeFi, NFTs, and related foolishness. Ponzi schemes appear to be in the minority, if you survey a decently-comprehensive summary (such as Molly White's).

      Imprecision in these matters helps no one.

  7. Pete Sdev
    Joke

    Nominative determinism

    I've been casually following this story since it started with some schadenfreude, and amusement at the name of the main protagonist.

    The bankman has been fried indeed.

POST COMMENT House rules

Not a member of The Register? Create a new account here.

  • Enter your comment

  • Add an icon

Anonymous cowards cannot choose their icon

Other stories you might like