FTX CEO, lawyers meet with prosecutors as probe continues

FTX CEO, lawyers meet with prosecutors as probe continues

FTX's new chief executive officer and attorneys met with Justice Department officials this week as the investigation into the firm's collapse continues, a source familiar with the meeting said.

FTX Trading's new CEO John J. Ray IIIRay III and lawyers for the firm met in person with prosecutors from the Manhattan U.S. attorney's office, which has been leading a probe into the firm's sudden collapse, the source said. The meeting was first reported by Bloomberg News.

FTX filed for U.S. bankruptcy protection last month and its founder Sam Bankman-Fried resigned as chief executive after rival exchange Binance walked away from a proposed acquisition. Ray, who was tapped to oversee the firm's restructuring, said the company is working with law enforcement and regulators.

The FTX cooperates with the government's investigations and may have further meetings with prosecutors, said the source, who declined to be named as the meeting and the investigation is not public.

The FTX collapsed across the industry, hobbling liquidity at firms with exposure to one of the world's biggest exchanges, and prompting investigations by regulators in several countries.

Spokespeople for FTX and Sullivan and Cromwell LLP, the firm representing FTX, did not respond immediately to Reuters' requests for comment.