US federal officials are investigating former FTX engineering director Nishad Singh. January 5th Report from Bloomberg.
The report suggests that Manhattan prosecutors could face charges by the end of January if they discover that Singh was involved in fraudulent FTX fund management. Bloomberg was unable to determine whether Singh was cooperating with authorities.
The Manhattan prosecutor mentioned by Bloomberg is implied to be a member of the US Attorney’s Office for the Southern District of New York, which has handled most aspects of the FTX case so far. SEC) and the Commodity Futures Trading Commission (CFTC) are also investigating Singh.
None of the above organizations have confirmed they are investigating Singh. Instead, Bloomberg said it had spoken to sources “familiar with the matter.”
No action has been taken against Singh, but it is frequently mentioned in connection with the collapse of FTX. Singh and others knew FTX was transferring funds to sister company Alameda Research, according to a November report, and in December, FTX Digital Markets CEO Ryan Salame said these transfers named Singh as his one of three persons who are sufficiently qualified to do so.
Singh is also mentioned in various other reports. In November, it was discovered that he had a $543 million loan from Alameda. He was also named alongside Salaam and former FTX CEO Sam Bankman-Fried for making controversial political contributions in the last election cycle. named Singh as the former resident and owner.
Reportedly, Singh has been missing since FTX filed for bankruptcy in November, which may have motivated an ongoing rumored investigation.
Singh is at least the third Bankman-Fried associate to be investigated by the federal government. In December, former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang agreed to a plea bargain with the authorities.
Bankman-Fried himself faces various charges for his leadership role. His final hearing will be on his January 3rd and his trial will begin on his October 2023.