American justice seizes $700 million worth of assets belonging to Sam Bankman-Fried

Following the release of a court document filed January 20 in a New York court, US federal authorities seized $700 million in assets belonging to Sam Bankman-Fried. These funds include 56 million Robinhood shares, cash, and accounts held on Binance.

https://cryptoast.fr/justice-americaine-saisit-700-milioni-dollars-actif-appartenant-sam-bankman-fried/

SBF sees its assets seized by American justice

According to information revealed by our colleagues at CNBC, US federal prosecutors reportedly seized about $700 million worth of assets belonging to Sam Bankman-Friedthe former CEO of the bankrupt FTX exchange.

According to publicly available New York Southern District Court filings, most of the funds involved here would be in the form of Robinhood shares. The latter are at the center of a conflict between SBF and cryptocurrency lender BlockFi, as well as the new management of FTX.

The latter all claim ownership of these approximately 56 million shares previously deposited with the broker ED&F Capital Markets. At HOOD’s current stock price, the total value of the loot amassed by federal prosecutors for this purpose is approximately $533 million.

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The American judiciary supported the seizure of the assets arguing that these shares had been obtained thanks to the funds stolen from the customers of the exchange. Sam Bankman-Fried, who pleaded not guilty to the eight charges against him, denies using client funds for illegal purposes.

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Other goods seized here and there

According to the document filed on Jan. 20, a number of other assets may have been seized. The nearly $700 million seized here is scattered in the form of cryptocurrencies, cash and stocks.

As can be seen in paragraph b, more than 20 million dollars were seized inside the brokerage ED&F Capital Markets such as Emergent Fidelity TechnologiesAntigua company majority-owned by SBF, which also owned the previously listed Robinhood shares.

$50 million were seized from an account held by FTX Digital Markets, the Bahamas branch of FTX, inside Moonstone Bank.

The latter may have had a close relationship with the empire built by Sam Bankman-Fried, since receiving approximately $11.5 million from Alameda Research in January 2022. However, the latter recently released a statement indicating that he was leaving the crypto space following the collapse of FTX.

Judicial document seized

Preview of the court filing relating to the seizure of Sam Bankman-Fried’s assets

More, about $100 million was seized on different accounts belonging to FTX Digital Markets in the vaults of Silvergate Bank. This crypto-bank was also badly affected by the FTX crash, as it recently revealed a $1 billion net loss for the fourth quarter of 2022.

3 accounts hosted on the Binance cryptocurrency exchange platform they were also seized by the courts, but the amounts held there were not disclosed in the document.

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Source: CNBC

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