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The U.S. Justice Department is currently pursuing the recovery of up to $13.25 million in political donations associated with former FTX executives, as disclosed in a recent federal court document.
Judge Lewis Kaplan, who is presiding over the criminal case against former FTX CEO Sam Bankman-Fried and his associates, granted the government’s request for an extension until January 15 to engage in discussions with various political action committees (PACs).
In its submission, the government underscored the necessity for additional time to deliberate on the “forfeitability of funds” that these PACs received from Bankman-Fried and his co-conspirators.
Senate Majority PAC, Future Forward PAC, and Emily’s List Mentioned in the Submission
The particular organizations referenced include Senate Majority PAC, Future Forward PAC, and Emily’s List, all of which are mainly aligned with Democratic interests or advocate for progressive initiatives.
Data from OpenSecrets indicates that the contributions amounting to around $13.25 million were made by Bankman-Fried and former FTX head of engineering Nishad Singh.
Singh, who testified that he was directed by Bankman-Fried to make these donations—often signing blank checks for that purpose—was recently sentenced to time served and three years of supervised release after assisting prosecutors against Bankman-Fried.
Comprehensive records show that the Future Forward PAC alone received $1 million from Singh and $5 million from Bankman-Fried.
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Moreover, the GMI PAC accepted $2 million, while the Senate Majority PAC received $2 million from Singh and $1 million from Bankman-Fried.
Women Vote was also a beneficiary of $2.25 million from Singh.
Following the collapse of FTX, several politicians and PACs have started returning contributions made by Bankman-Fried, with reports suggesting that many of these organizations plan to redirect the funds to other charitable endeavors.
SBF’s Neurodivergence Disorders Affected Trial
Last month, a group of medical professionals submitted an amicus brief in support of Sam Bankman-Fried’s appeal, asserting that his criminal trial may have been considerably influenced by his neurodivergence disorders.
The FTX co-founder, diagnosed with autism spectrum disorder (ASD) and attention-deficit/hyperactivity disorder (ADHD), encountered “serious challenges” during the court proceedings, according to the doctors.
The brief, endorsed by eight specialists in neurodivergence, pointed out that several decisions made during the trial were unfavorable to Bankman-Fried due to his conditions.
The amicus brief also coincided with another submission by a group of bankruptcy law professors who raised concerns regarding the relationship between FTX’s bankruptcy case and Bankman-Fried’s criminal trial.
While they did not advocate for either side, the professors contended that the collaboration between the FTX bankruptcy estate and the prosecution could establish a “dangerous precedent,” promoting the use of Chapter 11 proceedings to support concurrent criminal prosecutions.
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