Sam Bankman-Fried’s bid to beat federal fraud charges could boil down to one question: Is it possible to lose track of $8 billion through an honest mistake?
Bankman-Fried has said that his trading firm, Alameda Research, failed to realize that it owed a giant debt to FTX until it was too late, according to his interviews and writings after the exchange’s collapse. He attributed the failure to sloppy accounting and blamed underlings, describing himself as an aloof chief executive too removed from daily operations to know what was going on.
Prosecutors have a simpler story: He stole the money.
‘Enforcement 40’ for 2020
Join Us On LinkedIn
Join the Securities Litigation and Enforcement Group on LinkedIn