By Biodun Busari
The founder and CEO of the failed cryptocurrency exchange FTX, Sam Bankman-Fried has agreed to be repatriated to the United States to face fraud charges.
According to BBC, the 30-year-old American who lives in the Bahamas has been accused of committing “one of the biggest financial frauds in US history.”
A source close to Bankman-Fried who has repudiated the allegations said Bankman-Fried had agreed to be extradited.
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Vanguard had published that FTX has filed for bankruptcy, leaving many people unable to withdraw funds. According to a court filing, FTX owed its 50 largest creditors almost $3.1bn (£2.5bn).
As of the time of filing this report, it was not clear when Bankman-Fried will be extradited to the US, following his arrest on 12 December.
Among the most serious allegations against him is that he used billions of dollars of customer funds to prop up his investment trading company Alameda.
Last week, Damian Williams, the US Attorney for the Southern District of New York, said Bankman-Fried was accused of one of the largest frauds in US history.
The FTX founder was also accused of using “tens of millions” in ill-gotten gains for illegal campaign contributions to Democrats and Republicans alike, Williams said.
The Securities and Exchange Commission said the man who was formerly nicknamed the “King Of Crypto” had built a “house of cards on a foundation of deception.”
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