FTX to Recoup $M’s Donated to Politicians
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An editor at Coincrop
21 Dec 2022 | 4 min read
TX's new leadership is contemplating reclaiming millions of dollars that Sam Bankman-Fried and his inner circle gave to US politicians.
The restructuring team at bankrupt crypto exchange FTX is determined to recoup the generous political contributions from Sam Bankman-Fried (SBF) and his associates. Reports estimate that these donations amount to millions of US dollars.
It is believed that the contributions were made using customers’ money, thus expanding the scope of former FTX's CEO and top executive financial misconduct.
According to the Financial Times, several US politicians have reached out in an effort to voluntarily return the funds received from Sam Bankman-Fried, FTX's CEO and its top executives. This gracious gesture shows that these elected officials are taking their responsibilities seriously when it comes to upholding ethical standards in government.
The insolvent crypto exchange has declared that it will soon put in place a system to accept the pledge of reimbursements. If some people decide not to yield back the money they were given, legal penalties may be imposed on them, and interest payments could possibly be demanded by the exchange too.
‘To the extent such payments are not returned voluntarily, the FTX debtors intend to commence actions before the bankruptcy court to require the return of such payments, with interest accruing from the date any action is commenced,’ the company warned fervently.
FTX has announced that it will not only pursue US politicians who received the funds but also attempt to recover them from any charities or organizations in which they have been donated. This means even those who choose to do good with their money may still face repercussions for taking it in the first place.
Consequently, FTX has extended a kind invitation to anyone who obtained such advances to reach out and consult the corporation regarding voluntary reimbursement in order to avoid long drawn-out legal proceedings for retrieving the funds.
MikeAn editor at Coincrop
Mike is a Coincrop staff writer based in the UK, covering the best rates for cryptocurrency earning and borrowing products. When not at work, he's likely putting his latest car project back together.
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