Former FTX CEO Sam Bankman- Fried says statements made by new CEO were false

112
2
Former FTX CEO Sam Bankman- Fried says statements made by new CEO were false

Sam Bankman- Fried said Ray's statements put in legal records were false, despite the new FTX CEO John J Ray IIIRay III's testimony on FTX's poor record-keeping and unreliable financial data. The week before, FTX FTT USD had filed for Chapter 11 bankruptcy in Delaware.

Bankman- Fried said statements that have been made that have been put on legal record that I knew to be false in an interview with The Block on Monday.

There have been cases where it has been said XYZ did not exist and I am staring at a copy of XYZ, he added.

Bankman- Fried said he had limited access to data after quitting his position as CEO of FTX. Bankman- Fried claimed that Ray and his staff ignored his emails over the issue and that the falsehoods could be the result of lying or simply honest mistakes.

There are places with poor financial controls.

I would dispute the claim that there were zero financial controls. He said that there were places in which there were very poor controls and that those places were critical, and that was really bad.

In an earlier deposition, Ray stated that the situation at FTX was the first time in his 40 year career that he had witnessed such a catastrophic failure of corporate controls and a complete absence of trustworthy financial information. Ray said that the corporation did not have a complete list of the employees on its payroll, let alone the proper books, records, or security measures for its digital assets.

Ray argued that the court shouldn't rely on audited financial statements, because Alameda Research's trading arm and associated companies did not maintain comprehensive records of their investments. Next: A Cryptocurrency That Represents Physical Gold: This Exchange Set To Launch Tether Gold, Euro Tether