Sam Bankman-Fried's Associates Plead Guilty to Criminal Charges in Connection with FTX's Collapse

As Sam Bankman-Fried was returning to the United States from the Bahamas on Wednesday, a federal prosecutor stated that two of his accomplices had pled guilty to charges relating to the demise of the crypto exchange FTX, according to a report. US Attorney Damian Williams stated on Wednesday that both Gary Wang, who co-founded FTX with Bankman-Fried, and Carolyn Ellison, the former CEO of Alameda Research, pled guilty on counts of fraud. The guilty pleas were made when Bankman-Fried was being transferred to the US by US law enforcement from the Bahamas to face charges relating to his involvement in FTX's collapse. He was set to show up in federal court in Manhattan on Thursday. [caption id="" align="aligncenter" width="900"] Image credit- The New Indian Express[/caption] Ellison and Wang stipulated that they would assist with authorities completely in exchange for leniency at punishment if they pleaded guilty to charges relating to wire fraud, commodities fraud, and securities fraud. Williams added that the guilty pleas and the relocation of Bankman-Fried to New York were tied to an alleged fraud plan that aided in the demise of FTX and a political funding scheme meant to impact Washington's public policy. After giving up his opportunity to resist the extradition, Bankman-Fried was headed to the US. Following a request from the US government, the former CEO was detained by Bahamian officials last week. US authorities believe that he was influential in the quick collapse of FTX and concealed its troubles from the broader public and investors. [caption id="" align="aligncenter" width="619"] Image credit- Barron's[/caption] Bankman-Fried was charged by the Securities and Exchange Commission of utilising investor cash for personal and family real estate transactions in an unlawful manner. The 30-year-old might serve the rest of his life in prison with these charges. After deciding that Bankman-Fried posed a flight risk, a Bahamian judge denied him bail on Friday. He had been incarcerated at Fox Hill Prison in the Bahamas. His lawyer will be able to argue for his release on bond whenever he returns to the United States. Bankman-Fried was once among the richest persons in the world with a net worth was $32 billion. He was a well-known individual in the US who sponsored Democratic political campaigns.