FTX associates Caroline Ellison, Gary Wang plead guilty to criminal charges
Two individuals associated with FTX have pleaded guilty to criminal charges, statement From the Southern District of New York on December 21st.
Damien Williams, U.S. Attorney for the Southern District of New York, has filed a complaint against former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang in connection with FTX’s misconduct. said it had filed a lawsuit.
The two have pleaded guilty and are cooperating in an ongoing lawsuit against Sam Bankman-Fried, FTX’s principal founder and former CEO.
The U.S. Securities and Exchange Commission (SEC) also indicted for fraud Against Ellison and Wan. Regulators have charged Ellison with manipulating FTX’s FTT token price and misusing FTX’s customer funds to support Alameda’s trading activities. The SEC also alleged that Wang programmed software to allow Alameda to divert his FTX client funds for its own purposes.
SEC Chairman Gary Gensler said on twitter:
Until the cryptocurrency platform complies with proven securities laws, the risks to investors remain. Bringing the industry into compliance using all available tools remains a priority for the SEC.
A broader description of the allegations can be found in the SEC’s official press release. Additionally, regulators say they are investigating possible violations of securities laws and violations that may have been committed by other individuals.
The news broke when Sam Bankman-Fried returned to the United States and was indicted on fraud charges. Authorities approved his extradition request in the Bahamas on Wednesday.At the time of William’s announcement, Bankman-Fried was on a flight to the United States.
The post, in which FTX Associates Caroline Ellison and Gary Wang pleaded guilty to criminal charges, first appeared on CryptoSlate.
