FTX CEO Criticizes SBF’s Daring Declare of ‘0’ Hurt to Shoppers as ‘Reckless’ and ‘Fraudelant’

The flow CEO of FTX, John Ray, has disputed the previous CEO Sam Storage Fried’s statement that there was once “zero” hurt to shoppers right through the platform’s shatter in 2022, labeling the declare as “reckless” and “false.”

Ray’s complaint follows Bankman-Fried’s conviction in November for embezzling $8 billion from FTX shoppers.

John Ray Demanding situations SBF’s Protection Technique

The previous CEO’s protection technique has relied closely at the perception that since there could be a anticipation of purchaser compensation via chapter lawsuits, his movements must now not be thought to be robbery.

“I can assure the Court that each of these statements is categorically, callously, and demonstrably false,” Ray wrote in a Wednesday submitting. “Customers will never be in the same position they would have been had they not crossed paths with Mr. Bankman-Fried and his so-called brand of altruism.”

He additionally mentioned that the medication of budget for FTX shoppers isn’t a testomony to SBF’s innocence however in lieu the results of diligent efforts through execs managing the chapter property.

Ray’s statements come forward of SBF’s sentencing scheduled for March 28, the place he faces the probability of a long jail time period.  Bankman-Fried’s protection crew adverse the prosecutors’ prompt 40 to 50-year jail time period.

Ray Demanding situations Cure Claims

SBF, who pleaded now not responsible to seven fraud and conspiracy counts, has maintained his innocence, claiming that he by no means supposed to thieve budget in spite of acknowledging errors in operating FTX.

“The memorandum distorts reality to support its precious ‘loss’ narrative and casts Sam as a depraved super-villain,” Mukasey wrote on Monday, regarding the sentencing proposal.

He had additionally prior to now mentioned that FTX shoppers have been anticipated to be totally compensated via chapter lawsuits and that he had labored diligently to get well budget nearest the alternate’s shatter.

Ray has disputed this, declaring that SBF’s statement about complete price recovery overlooks noteceable main points, stating that people who held Bitcoin in FTX on the moment of shatter would obtain a recovered price considerably decrease, through 400%, than flow charges. This discrepancy arises for the reason that distribution price is motivated in line with the petition past, failing to account for the rise in worth values since next.

He additionally mentioned that because of covert borrowing through Alameda beneath SBF’s route, the account statements have been misguided, because the FTX borrowers didn’t possess the cryptocurrency shoppers believed was once held of their accounts as of the petition past.