The DOJ May Forfeit Sam Bankman-Fried’s Two Multimillion-Dollar Jets. An Expensive Setback!
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Once called the king of crypto, he is deep down the neck in legal scoops; while the DOJ has moved to freeze SBF’s assets, the SEC chair is grilled in connection with SBF and FTX. In FTX’s heyday, the crypto billionaire hobbled with celebrities, including model Gisele Bündchen, former President Bill Clinton, and actor Orlando Bloom. It’s a payback time. SBF is facing a death trial, and his lawyers are making his image as an innocent boy.
But recently, one more thing happened: in “Going Infinite” by Michael Lewis, it’s revealed that SBF offered to buy back FTX shares from CZ, initially priced at $2.2 billion, with an additional $75 million added at CZ’s request. He also portrayed an illusioned story of SBF to confuse the readers. After the bail rejection, the major setback in SBF’s case was his assets freeze. That’s what the DOJ planned. Is it the best way to recover the losses, or is more to come?
Let’s delve in to know more.
SBF’s Million Dollar Jet is Under Question?
The week went bad for Sam Bankman-Fried, co-founder of FTX, who is facing the potential forfeiture of two luxury jets by U.S. prosecutors to reclaim assets. The Department of Justice issued a forfeiture bill listing a Bombardier Global and an Embraer Legacy as assets belonging to Bankman-Fried that could be seized from him.
Although Bankman-Fried has ownership of the jets, they have reportedly never been used by him. Airplane trackers indicate that both jets are listed under “private” owners. However, an ownership dispute has emerged between the Department of Justice and FTX, as outlined in a court filing on September 21 during bankruptcy proceedings related to Bankman-Fried’s former company.
It all started with the recent filing by Island Air Capital (IAC); the government argues that both aircraft were purchased with the proceeds of fraud and are subject to forfeiture. On the other hand, FTX claims ownership because the alleged loans used to acquire the planes were not properly documented.
Latest Trial Updates!
In opening remarks in court, the US Government stated that Sam Bankman-Fried’s crypto empire was a “house of cards built on lies.”
The case is buzzing since SBF has pleaded not guilty. In contrast, the US Department of Justice accused SBF of intentionally deceiving investors for personal gain. The defense argued that SBF was simply a young entrepreneur who made unsuccessful business decisions and denied the existence of any secret deals between Alameda and FTX or a backdoor for embezzlement.
Filed under: Bitcoin - @ October 5, 2023 12:15 pm