U.S. Federal Prosecutors Seize Approximately $700 Million in Assets from Former FTX CEO Samuel Bankman-Fried, Most of His Robinhood Shares?

Last Updated on 01/23/2023 by てんしょく飯

U.S. federal prosecutors have seized approximately $700 million in assets from Samuel Bankman-Fried (SBF), founder and former CEO of crypto asset (virtual currency) exchange provider FTX.

U.S. federal prosecutors seized approximately $700 million in assets from SBF, the former CEO of FTX.

The majority of those seized assets were shares in the U.S. investment app Robinhood, documents filed with the court on January 20 revealed.

The SBF defendant is accused of stealing billions of dollars from FTX clients to pay debts incurred by his hedge fund, Alameda Research, but he has pleaded not guilty to the fraud charges. The defendant is scheduled to stand trial in October.

The seizure of Robin Hood stock was disclosed by the U.S. Department of Justice (DOJ) earlier this month, but the filing by federal prosecutors now provides a more complete list of the seized assets. The list includes cash held at various banks and assets deposited at Binance, a major crypto exchange.

The seized Robin Hood shares are worth approximately $525 million. The ownership has also been disputed between “Mr. SBF,” “FTX,” and BlockFi, a U.S. crypto asset lending service that is currently filing for bankruptcy.

The latest asset seizure took place on January 19, when prosecutors seized $94.5 million in cash from an account at Silvergate Bank, a Habama-based bank associated with FTX’s subsidiary, FTX Digital Markets, according to a report by the US Department of Justice. The U.S. Department of Justice also seized $94.5 million in cash from an account at Silvergate Bank related to FTX Digital Markets, a subsidiary of FTX. The U.S. Department of Justice also seized more than $7 million (approximately 940 million yen) from other Silvergate accounts related to Sam Bankmanfried and FTX.

The DOJ previously seized nearly $50 million (approximately $6.48 billion) from the FTX Digital Markets account at Moonstone Bank, a small bank in Washington State.

The DOJ also said that three assets in the Binance account associated with SBF are subject to criminal forfeiture, but did not provide an estimate of the value of these accounts.