ccording to a Dec. 12 proposition from the Bahamas Attorney General (AG) and Minister of Legal Affairs, Ryan Pinder, Bankman-Fried was arrested by the Royal Bahamas Police Force after receiving a formal notification from the US government that criminal charges had been filed against him.
The New York Times cited a source familiar with the situation, the charges against Bankman-Fried involve wire and securities fraud, conspiracy to contribute wire and securities fraud, and money laundering.
The United States will most likely request Bankman-extradition, Fried's with Pinder stating that the Bahamas will promptly process any extradition request.
In a statement, Prime Minister Philip Davis stated that both countries have a common interest in holding responsible all people affiliated with FTX who may have deceived public trust and broken the law.
A tweet sent by the U.S. The Attorney's Office for the Southern District of New York said Bankman-Fried was arrested in the Bahamas relying on a sealed indictment that it plans to break open in the morning.
The arrest of SBF was confirmed by Bahamas authorities
Williams' announcement was preceded by a statement from Bahamian authorities confirming his arrest:
"The Bahamas and the United States share a common interest in holding accountable all individuals associated with FTX who may have betrayed the public trust and violated the law. While the US pursues criminal charges against SBF on an individual basis, The Bahamas will proceed with its own regulatory and criminal investigations into the implosion of FTX, with the continued support of its law enforcement and regulatory partners in the US and elsewhere.”
On December 10, Bloomberg reported that New York prosecutors, FBI agents, and other regulators met with FTX's lawyers to analyze the documentation investigators want.
US prosecutors are investigating how assets held by the exchange operator relocated outside the US as it was hurtling toward bankruptcy, laying the foundation for a potentially fraudulent case against Sam Bankman-Fried and others associated with the collapse of cryptocurrency giant FTX.
In a court filing after FTX filed for Chapter 11, new CEO John Ray III blasted the company's mismanagement. "Never in my career have I witnessed such a total failure of corporate controls and such an absence of trustworthy financial information as happened here," wrote Ray, who oversaw Enron's bankruptcy proceedings.
Bankman-Fried was set to testify before the United States House of Representatives on Tuesday, December 13.
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