Prosecutors are reportedly investigating transactions involving crypto wallets associated with Sam Bankman-Fried.
Blockchain analysts have detected that more than $1 million was moved from these accounts in the last few days, and United States prosecutors are trying to identify who is moving the funds and what they are doing with them, Bloomberg reported Friday (December 30), citing an anonymous source.
Bankman-Fried’s bail conditions prohibit her from making financial transactions of more than $1,000 unless they are for legal costs or unless she obtains permission from the government or the courts, according to the report.
Bankman-Fried denied making the transactions in two tweets posted Friday.
“None of these are me,” he said in one cheep. “I am not and could not be moving any of those funds; I no longer have access to them.”
None of these are me. I am not and could not be moving any of those funds; I no longer have access to them. https://t.co/5Gkin30Ny5
—SBF (@SBF_FTX) December 30, 2022
So in a reply In her own tweet, Bankman-Fried said that these could be, and hopefully were, legitimate transactions made by someone at FTX.
I think it’s likely that several legitimate FTX branches have the ability to access these funds; Let’s hope that’s what’s happening here. If not, hopefully one will step in soon to do so. I would be happy to help advise regulators on this if any would like.
—SBF (@SBF_FTX) December 30, 2022
Bankman-Fried was published in a $250 million bonus, believed to be the largest ever, on December 22.
During his first court appearance in the US, he was also ordered to live at his parents’ home in California, be electronically monitored, and restrict his travel to parts of California and New York..
On Thursday (Dec 29), the Bahamas Securities and Exchange Commission announced that it had seized $3.5bn from FTX on Nov 12, one day after FTX filed for bankruptcy in US federal court, to protect the active for customers and creditors after Bankman-Fried mentioned cyber attacks on one of the company’s arms.
Friday’s report on the transfer of funds came as the next scheduled transfer from Bankman-Fried. court appearance approaches
He will appear before a judge on Tuesday (January 3) and is expected to enter a guilty plea in this criminal indictment, in Manhattan, New York.
As PYMNTS reported, the US Department of Justice charged Bankman-Fried with eight criminal counts ranging from wire fraud to conspiracy. Bankman-Fried has maintained his innocence in the events that led to the rapid implosion of his crypto empire and the loss of billions of misallocated client funds.
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