Ex-FTX Co-CEO Ryan Salame Awaits Sentence for Role in Major Fraud Case
Summary:
Ex-co-CEO of FTX Digital Markets, Ryan Salame, is to be sentenced on May 1 for his fraudulent role in the FTX scam. In September 2023, Salame admitted guilt to making illegal political contributions and running an unauthorized money transmission business. He's been charged alongside ex-FTX CEO Sam “SBF” Bankman-Fried and three other former FTX executives. Salame confessed to giving $10 million in political donations, funding his then-girlfriend's 2022 congressional campaign unlawfully and not intending to repay what he called loans. Probation rather than jail time is the proposed sentence.
On May 1, Ryan Salame, the ex-co-chief executive of FTX Digital Markets and admitted felon, is set to be sentenced in a New York Court. As per a court list issued on February 23 by the United States District Court for the Southern District of New York, Salame will confront Judge Lewis Kaplan for his fraudulent role at the now obsolete cryptocurrency exchange FTX. In September 2023, Salame declared guilt to one charge of illicit political donations and one charge of conspiracy to conduct an illicit money transmission business.
Salame is being prosecuted in conjunction with the former chief executive of FTX Sam “SBF” Bankman-Fried, the former director of Alameda Research Caroline Ellison, co-creator of FTX Gary Wang, and the prior engineering head of FTX Nishad Singh. Salame acknowledged in court for donating $10 million to political causes which were never intended to pay back, essentially loans.
His charges also highlight his funding to the then-girlfriend's 2022 congressional campaign, Michelle Bond, reports hint he conducted these via a corporation, in violation of American law. Upon she sentencing, Salame, the ex-FTX executive may face prison for several years, but a probation term in lieu of jail time is reportedly suggested by the U.S. Attorney’s Office.
Bankman-Fried finds his sentencing in New York slated for March 28, following his conviction on seven felony charges in November 2023. Tiffany Fong, a crypto news reporter released an image of Bankman-Fried in captivity on February 19, providing a seldom occurrence of his life post-conviction.
None of the five implicated crypto executives condemning FTX's crash have been sentenced since the prosecutors initiated criminal charges in November 2022. Ellison, Wang, Singh, and Salame are all guilty pleaders and deal-accepters, while Bankman-Fried has chosen to proceed with trial. Salame was the only person that did not testify against SBF during the trial. His plea bargain reportedly included around $6 million penalties to the U.S. government, $5 million paid back to FTX's debtors, and forfeiture of two Massachusetts estates along with a Porsche. As this news was published, Salame was on a $1 million bail awaiting his sentence.
Published At
2/23/2024 9:21:32 PM
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