Security News > 2023 > October > US v Sam Bankman-Fried trial begins ... as imploded crypto biz boss sues his insurer

The first of two US government prosecutions of former FTX CEO Sam Bankman-Fried commenced in New York on Monday, only a day after the cryptocurrency tycoon sued his own insurance company for failing to cover his legal costs.

Who is SBF... Sam Bankman-Fried co-founded cryptocurrency exchange FTX and served as its CEO. He also co-founded Alameda Research, a hedge fund intertwined with FTX. SBF stepped down late last year and has been charged with fraud over allegations FTX and Alameda, among other things, siphoned billions in people's deposits to fund luxury lifestyles, invest in a whole range of businesses, and gamble on digital assets.

FTX crypto-clown Sam Bankman-Fried couldn't even do house arrest.

Now he's in jail Inside FTX: Jokes about misplaced funds, diabolical IT, poor oversight, and worse FTX crypto villain Sam Bankman-Fried charged with bribing Chinese officials FTX inner circle helped itself to $3.2B, liquidators say.

CNA may believe that it isn't obligated to pay because of Bankman-Fried's alleged fraud and the associated collapse of FTX - the focus of the New York trial.

Four others affiliated with FTX have entered guilty pleas in prior legal proceedings: FTX co-founder Gary Wang, who was Bankman-Fried's roommate at MIT; former Alameda Research co-CEO Caroline Ellison, who had a romantic relationship with Bankman-Fried; Nishad Singh, an FTC co-founder and director of engineering; and Ryan Salame, who ran FTX's business in the Bahamas.

News URL

https://go.theregister.com/feed/www.theregister.com/2023/10/03/sbfd_trial_insurance_lawsuit/