Two senior executives associated with collapsed crypto exchange FTX have pleaded guilty to multiple criminal charges and are cooperating with federal prosecutors, according to unsealed court record…
Two senior executives associated with collapsed crypto exchange FTX have pleaded guilty to multiple criminal charges and are cooperating with federal prosecutors, according to unsealed court records. Additionally, the pair face civil fraud charges from the Securities and Exchange Commission that were announced Wednesday night.
Gary Wang, the co-founder of FTX, and Caroline Ellison, who served as CEO of the hedge fund Alameda Research, pleaded guilty to multiple counts of conspiracy and fraud for their roles in the fraud scheme that led to the collapse of the crypto-trading platform.
Damian Williams, the US attorney for the Southern District of New York, announced the charges in a video message Wednesday night. In a brief statement, he reiterated that the investigation is still ongoing, noting specifically that these new charges in the case are not the last.
Ilan Graff, an attorney for Wang, said: “Gary has accepted responsibility for his actions and takes seriously his obligations as a cooperating witness.” Wang has already appeared in court for his guilty plea.
Ellison’s attorneys could not be immediately reached for comment.
The charges were unsealed as Sam Bankman-Fried was enroute to the United States from the Bahamas, where he was arrested last week on an eight-count indictment for what Williams called one of the largest financial frauds in American history.
