Ex-girlfriend of Sam Bankman-Fried's ex-girlfriend tells fraud trial

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Ex-girlfriend of Sam Bankman-Fried's ex-girlfriend tells fraud trial

Sam Bankman-Fried's fraud trial enters its sixth day on Wednesday with more testimony from Caroline Ellison, his ex-girlfriend and the former CEO of a hedge fund related to his collapsed cryptocurrency exchange.

Ellison testified on Tuesday that she was enmeshed in criminal activity while at the head of Alameda Research, the sister hedge fund to FTX. She is the prosecution's star witness in Bankman-Fried's trial, in which he faces seven fraud and conspiracy charges for cheating customers out of $10bn. He has pleaded not guilty to charges of manslaughter and manslaughter.

Prosecutors Danielle Sassoon asked what was going on, and Sassoon said she did not know what was going on.

Shortly after Ellison started as a trader at Alameda around fall 2018 as a trader, she learned the company was financially far sicker than she had known. Why did Ellison ask Bankman-Fried if he had not told her before she started?

T share more information. He apologized and said he didn't know how to tell me.

Bankman-Fried said the bank had set up a system to shuttle FTX customer funds to Alameda to cover loan expenses.

Ellison said that Bankman-Fried had not notified FTX's customers that his hedge fund was using their money to make investments.

She also said that FTX's massive loans to Alameda were causing the exchange's $$8bn shortfall during the 2022 crypto downturn and its eventual bankruptcy.

Sassoon asked: How did you answer the question 'Sassoon'?

Ellison responded with a skepticism.

Ellison and Bankman-Fried were together in a romantic entanglement that lasted for years. In 2018, she said, she and the founder started sleeping together on and off. In the summer of 2020, she said, we eventually started a romantic relationship. They separated in summer 2021 and got back together that fall. In spring 2022, they broke up again.

When asked about the dynamic, Ellison testified. There was a general theme that I sort of wanted more from my relationship. He was not paying attention to me, I felt like he was distant.

Ellison recalled: "I know it's a bad thing to do, but I don't think we will get rid of it any time soon, he said. The two had resided in a $40 million Bahamas penthouse with other FTX executives.

In December 2022, Ellison pleaded guilty to wire fraud and conspiracy charges, resulting in the stunning collapse of FTX and Alameda.