Beyond that, the new documents provide a lot of little details that contain rather serious allegations.
"In November 2022, the general counsel of FTX.US warned employees that they should preserve documents because of the involvement of regulators, and then posted in a company Slack channel that FTX would need to be shut down," one section of the superseding indictment said. "Bankman-Fried, however, deleted the general counsel's message about FTX being shut down, continued to use Signal messaging and proceeded to delete some of his own statements on Twitter, including his tweets about customer assets being 'fine.'"
The FTX founder also allegedly directed the creation of North Dimension, a U.S.-based company, purely to act as an intermediary between FTX and U.S. banks. Prosecutors claim Bankman-Fried lied about North Dimension's true purpose to get through a bank's due diligence process.
Moreover, prosecutors hold that Bankman-Fried never segregated FTX customer assets from Alameda assets or other assets, despite "representations … to the contrary."
Bankman-Fried "used the FTX customer funds he misappropriated and caused to be misappropriated to, among other things … finance in substantial part [his] unlawful political influence campaign, which involved flooding the political system with tens of millions of dollars in illegal contributions to both Democrats and Republicans made in the names of others in order to obscure the true source of the money and evade federal election law," the indictment said.
The document alleged that Bankman-Fried, while openly willing to support Democrats, also bolstered Republicans by having an unidentified co-conspirator be the public face of those donations.
While the document does not name the individual, CoinDesk reporting found that dozens of Republicans received donations from FTX Digital Markets co-CEO Ryan Salame. Salame has not been accused of any wrongdoing as of press time.
Another unidentified co-conspirator appears to be Nishad Singh, the former engineering director. While the criminal indictment against Singh does not mention Bankman-Fried by name, prosecutors filed the "conspiracy to make unlawful political contributions" charge against him that they filed against the former CEO.
The indictment details how Singh allegedly donated to candidates and committees well in excess of federal limits and lied about their origin.
"In or about 2022, Nishad Singh, the defendant, and one or more other conspirators agreed to and did make contributions to candidates and committees in the Southern District of New York that were paid for using funds from Alameda Research and reported to the Federal Election Commission in the names of persons other than the true source of the funds," the filing said.
The SEC and CFTC filings against Singh are both more willing to mention Bankman-Fried (as well as other former FTX executives).
The SEC filing spends a lot of time looking at the way FTX and Alameda were structured, noting Alameda's ability to have a negative balance on FTX's books and the alleged misappropriation of customer funds to other uses. Similarly, the CFTC filing claims federal violations based on how the companies were set up and what they actually did.
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