DOJ Seizes Another $490M From Sam Bankman-Fried
According to the DOJ, Bankman-Fried’s Robinhood Shares are property that was involved in money laundering or wire fraud.
Key Takeaways: The DOJ has seize 55 million Robinhood shares, and $20.7 million belonging Emergent Fidelity Technologies.
Although the holding company is not part of the FTX estate it is believed to have been funded by Bankman-Fried using customer money.
Bankman-Fried had fought before to keep the shares under his control to pay his legal fees.
Share this article Despite Sam Bankman Fried’s best efforts, it was decided by the DOJ to seize the Robinhood shares that the FTX whiz kid purchased through Emergent Fidelity Technology.$490 million SeizedTwo months following the collapse of FTX, authorities are still busy seizing assets connected in some way or another to the defunct cryptocurrency exchange. According to a January 6 court filing, the Department of Justice seized 55,273,469 shares of Robinhood stock that Sam Bankman-Fried, founder of FTX, through Emergent Fidelity Technology, a holding company. The shares were worth more than $469million at the time of writing. According to the document, the DOJ seized $20.7 million more from Emergent Fidelity Technologies. The assets were taken from an account at ED&F Capital Markets. The DOJ claimed that the assets had been purchased by Bankman-Fried using misappropriated funds. According to the filing, Bankman-Fried’s assets are property involved in money laundering or wire fraud. FTX filed another court document on December 22. It claims that Emergent Fidelity Technologies was a special-purpose holding company with no other business than holding that stock. The majority of the company is owned by Bankman-Fried. However, the DOJ acknowledged that BlockFi, a FTX debtor, expressed an interest in receiving the assets. However it pointed out that Emergent Fidelity Technologies wasn’t part of the FTX estate so it was not yet involved in bankruptcy proceedings. Bankman-Fried is also hurt by the $490 million seizure. He had previously petitioned to retain control of Emergent Fidelity Technology. He claimed that he wanted to use Robinhood shares to pay his legal fees. Bankman-Fried has previously secured a $250m bail package which requires him to remain at home with his parents in Palo Alto. Disclaimer: The author of this article owned BTC, ETH, as well as other crypto assets, at the time of writing. However, Decentral Media, Inc. does not warrant the timeliness, completeness, accuracy, or timeliness of any information accessed through this site. Decentral Media, Inc. does not provide investment advice. We do not provide personalized investment advice or any other financial advice. This website’s information is subject to change at any time. The information on this website could become obsolete or incorrect. You may not be able to update any information that is outdated, incomplete or inaccurate. We also reserve the right to change any information that is incorrect, incomplete or outdated. If you need investment advice about an ICO, IEO or other investment, we strongly recommend that you consult a licensed financial advisor or other qualified financial professional. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.See full terms and conditions.Recommended News