FTX founder Sam Bankman-Fried has been arrested within the Bahamas • TechCrunch

Sam Bankman-Fried has been arrested by The Royal Bahamas Police Drive following reviews that the US filed legal expenses in opposition to the founder and former CEO of cryptocurrency alternate FTX, and is prone to request his extradition.

The Workplace of the Legal professional Normal of the Bahamas issued an announcement at this time, which was reported by BNO and different information shops, that it might maintain Bankman-Fried in custody till “a proper request for extradition is made.”

In an announcement, Bahamian Prime Minister Philip Davis mentioned, “The Bahamas and the US have a shared curiosity in holding accountable all people related to FTX who could have betrayed the general public belief and damaged the legislation. Whereas the US is pursuing legal expenses in opposition to SBF individually, The Bahamas will proceed its personal regulatory and legal investigations into the collapse of FTX, with the continued cooperation of its legislation enforcement and regulatory companions in the US and elsewhere.”

The workplace the US Legal professional for the Southern District of New York Damian Williams confirmed the arrest and the truth that it was made “on the request of the U.S. Authorities, based mostly on a sealed indictment filed by the SDNY.” In a tweet, the workplace of the SDNY added: “We count on to maneuver to unseal the indictment within the morning and could have extra to say at the moment.”

The previous billionaire was scheduled to testify tomorrow as a witness earlier than the U.S. Home of Representatives Committee on Monetary Companies, TechCrunch’s Jacquelyn Melinek reported earlier at this time. The committee is investigating the occasions that led as much as FTX’s implosion, which resulted within the crypto alternate submitting for chapter final month and Bankman-Fried being pressured to step down as chief government.

As TechCrunch beforehand reported, Reuters reported final month that Bankman-Fried secretly transferred $10 billion in FTX consumer funds to affiliated buying and selling agency Alameda Analysis. Bankman-Fried informed the publication that the switch of the funds was a misreading of the “complicated inner labeling.” He has repeatedly claimed ignorance of any wrongdoing.

Axios reported earlier at this time that Bankman-Fried “continued to say no to testify in entrance of the U.S. Senate Banking Committee, and that his attorneys are refusing to simply accept a subpoena,” based on a brand new assertion from Sens. Sherrod Brown and Pat Toomey.

It is a creating story. TechCrunch reporter Amanda Silberling contributed to this piece.

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