- FTX suggests Sam Bankman-Fried gained unauthorized access to its systems after filing for bankruptcy.
- Bankman-Fried believes he made the biggest mistake by filing for Chapter 11 bankruptcy.
- The former FTX CEO has two weeks to raise $8 billion to pay back its investors.
The bankrupt crypto exchange, FTX suggests in a bombshell emergency court filing that the former CEO Sam Bankman-Fried gained unauthorized access to its systems after filing for bankruptcy to transfer digital assets to the Bahamian regulators.
On Thursday, FTX filed a petition in the Delaware US Bankruptcy Court alleging that the Bahamas government ordered Bankman-Fried to gain ‘unauthorized access’ while in custody. The document did not specify which transactions were unauthorized and how they occurred.
CEO of podcast Wealthion, Adam Taggart tweeted that the events that are unfolding get as weird as they can. He further added:
Remember the mysterious hack of FTX over last weekend? Turns out it was indeed SBF. Apparently, Bahama authorities pressured him into transferring remaining client assets into government coffers.
Yesterday, the Securities Commission of the Bahamas confirmed that they directed unauthorized access to the Debtors’ systems to obtain digital assets of the Debtors that took place after the commencement of these cases.
In an interview with Vox, Bankman-Fried admitted that he f***ed up while adding that he believes he made the biggest mistake by filing for Chapter 11 bankruptcy. Had Bankman-Fried not done that, 70 percent of the mess would have been fixed by now. He stated that had he not done that, withdrawals would have been opening up in a month with customers fully whole.
Furthermore, Bankman-Fried said he thinks that things could get better if either FTX co-founder Gary Wang or the Director of Engineering Nishad Singh came back. He added a second scenario where if they win a jurisdiction battle against Delaware that could make things better for him.
During the interview, Bankman-Fried was asked what happened to the money that got mysteriously moved out after the bankruptcy to which he replied was a hack by an ex-employee or malware from an ex-employee’s computer. As of today, Bankman-Fried has two weeks to raise $8 billion.
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