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For people looking for prosecution like embezzlement or something else, these things usually rely on a violation of company policy then enabling a violation of a criminal law

FTX/Alameda had no company policies and in this case disclosed what they were going to do to investors. “Buyout binance’s stake”.

There is only so much the governments do to prevent you from wiring money to a sketchy opaque shadow bank in the Bahamas.



There are likely other charges that they could face. I don't think this rises to the level of embezzlement (although IANAL), but the missing customer deposits, lack of strict segregation between Alameda and FTX, and the use of company assets for personal loans and purchases will probably lead to indictments.


that I agree on, just commenting on this specific article


It goes much deeper. They clearly stole a lot of customer money and SBF is supposed to have had a "backdoor" he could use to move funds between the exchange and Alameda to avoid detection by auditors. It doesn't get much more criminal than that in finance.

https://www.reuters.com/markets/currencies/exclusive-least-1...

Of course, with the way he and his family are connected, it wouldn't surprise me if he eventually walks free.




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