Key Highlights:
- According to Reuters, Sam Bankman-Fried, the founder of FTX, was questioned by Bahamian authorities on Saturday.
- According to the authorities, they are looking into whether “criminal misconduct occurred” in connection with FTX’s demise.
Financial investigators and the Bahamas securities regulators are looking into potential criminal activity related to the bankruptcy of crypto exchange FTX, according to a statement the Royal Bahamas Police Force delivered to Reuters on November 13.
The Royal Bahamas Police stated, “In light of the collapse of FTX globally and the provisional liquidation of FTX Digital Markets Ltd., a team of financial investigators from the Financial Crimes Investigation Branch are working closely with the Bahamas Securities Commission to investigate if any criminal misconduct occurred.”
A Little About FTX and Sam Bankman-Fried
Last September, FTX relocated its corporate offices from Hong Kong to the crypto-friendly Bahamas. At the time, Bankman-Fried asserted that the Caribbean tax haven was a better place to conduct business since it had clearer regulations than the Asian metropolis.
As one of the first nations to issue its own Central Bank Digital Currency (CBDC), a virtual, government-controlled alternative to its domestic dollar, in 2020, the Bahamas welcomed crypto entrepreneurs.
Bankman-Fried denied claims on Crypto Twitter that he was traveling to Argentina by telling Reuters on Saturday that he still resides in the area and is apparently living in a home with 10 of his friends and coworkers. According to Bloomberg, he was questioned by Bahamas police on Saturday night.
As per sources…
According to a source who has knowledge of the matter, the three former FTX executives and Alameda Research CEO Caroline Ellison are looking for ways to escape to Dubai because that country “doesn’t have any extradition treaties,” most likely trying to refer to extradition arrangements with the United States.
