The Number of Lawsuits Is Growing: What Will FTX Ex-CEO SBF Do Now?
The number of lawsuits filed against former FTX CEO Sam Bankman-Fried (SBF) has been growing since the collapse of the crypto empire. According to the latest information obtained, the former “white knight” of crypto finds himself as a defendant in seven class actions filed since the bankruptcy of FTX.
It is worth noting that these cases are separate from the numerous reviews and investigations examining FTX and SBF, such as the market manipulation investigation reported by federal prosecutors and the Federal Election Commission’s possible investigation into Bankman-Fried’s black money donations to the Republican Party.
Let’s take a look at the class action lawsuits filed against Sam Bankman-Fried since November 11:
7 December – Podalsky and Bankman-Fried: Gregg Podalsky, and this lawsuit was filed by the other four people, the Golden State Warriors, Bankman-Fried is the manager and numerous other transmitters, inexperienced investors are profitable to purchase unregistered securities accounts in the form of a “tricky” way to lose customers by promoting accuses causing billions of dollars. Other celebrities named in the lawsuit include Tom Brady, Kevin O’Leary, Stephen Curry, Trevor Lawrence and Shaquille O’Neal, while Podalsky is demanding that the case be heard as a jury Decider.
December 5 – Jessup and Bankman-Fried: FTX client Michael Elliott Jessup has filed a class action lawsuit against Bankman-Fried, former Alameda CEO Caroline Ellison and other FTX executives on charges of fraud, unprovoked enrichment and conversion. Unjustified enrichment in legal cases refers to situations in which one person enriches to the detriment of another in cases that the law considers unjust. Jessup, who also requested that the case be heard by a jury, claims that customers who have funds in FTX rightfully own crypto assets and that the defendants transferred these assets to Alameda Research without their authorization.
December 2 – Hawkins and Bankman-Fried: This lawsuit filed in California is a class action lawsuit filed by Russell Hawkins, an FTX customer who has funds on the exchange, on behalf of everyone in a similar situation and claims that customers were misled by unfair and deceptive practices. The defendants include Bankman Fried and other FTX executives, as well as the accounting firms Armanino and Prager Metis, which issued Decertified reports that FTX was in good financial condition.
November 23 – Pierce and Bankman-Fried: YEAR customer, Stephen Pierce, same the case with the defendant Hawkins in California Bankman-fried “in the history of one of the greatest swindlers” and accused of being “itself and its vicinity and various private investments to finance the assets of unnecessary expenditures used as a slush fund for their own personal” claim filed a lawsuit. It seems that a jury has also been requested once again by the plaintiff (Pierce), who claims a violation of the Racketeering Influenced and Corrupt Organizations Act (RICO). Racketeering is defined as a type of organized crime in which an illegal coordinated plan or operation is established that allows the perpetrators to consistently make a profit.
November 21 – Kavuri and Bankman-Fried: FTX customer Sunil Kavuri has filed a class action lawsuit in Florida similar to the Podalsky and Bankman-Fried case. The defendant list includes celebrities or well-known people who support or otherwise promote FTX, and allegedly these people do not disclose their payouts to the company or their shares in the company. Kavuri unregistered securities in order to attract customers and arouse the interest of FTX it claims to be fraudulently introduced this offered as securities litigation, securities and Exchange Commission is seen as a case that you can follow closely.
20 November – Lam and Bankman-Fried: year and residing in Hong Kong, customers, Elliot Lam, filed in California in the case of another batch of Bankman-Fried, Golden State of California’s false advertising and unfair competition laws Ellison and Warriors and also that they had violated fraudulent concealment and civil conspiracy claim, which emerges as the plaintiff.
November 15 – Garrison and Bankman v. Fried: A class action lawsuit filed in Florida by Edwin Garrison alleges that FTX’s profit-making products were illegally offered as securities. This case once again includes all the famous players and well-known people who are understood to be supporting FTX or taking part in FTX’s marketing campaigns. Garrison also accuses FTX of engaging in deceptive and unfair trading practices and of conducting a “fraudulent scheme” that deliberately took advantage of “inexperienced investors”.
In addition to these 7 lawsuits, experts say that FTX former CEO Sam Bankman-Fried may also face more lawsuits.