Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

U.S. House committee chair says Bankman-Fried subpoena 'definitely on the table'

Published 12/07/2022, 08:04 PM
Updated 12/08/2022, 05:36 AM
© Reuters. FILE PHOTO: Representative and chairwoman Maxine Waters (D-CA) attends the House Financial Services Committee hearing on Capitol Hill in Washington, U.S., September 30, 2021.  Al Drago/Pool via REUTERS/File Photo

(Reuters) -U.S. House Financial Services Committee Chairman Maxine Waters (NYSE:WAT) tweeted on Wednesday that a subpoena of FTX founder Sam Bankman-Fried was "definitely on the table," in response to reports she was unwilling to force him to testify before a House committee.

Bankman-Fried, 30, faces scrutiny by regulators in the United States and elsewhere over the stunning collapse of Bahamas-based crypto-exchange FTX, which filed for bankruptcy last month after a liquidity crisis that saw at least $1 billion of customer funds vanish.

The House Financial Services Committee has scheduled a hearing into the matter for Tuesday. CNBC reported that Waters, a Democrat who chairs the panel, had no intention of subpoenaing Bankman-Fried if he does not voluntarily testify.

"Lies are circulating @CNBC that I am not willing to subpoena @SBF_FTX," Waters said on Twitter. "He has been requested to testify at the December 13th hearing. A subpoena is definitely on the table. Stay tuned."

Waters had earlier said it was imperative that the FTX founder testify and that the committee was "willing to schedule continued hearings if there is more information to be shared later."

Bloomberg News reported separately that two U.S. senators were also seeking Bankman-Fried's testimony and would subpoena him if necessary.

The New York Times reported on Wednesday that federal prosecutors were investigating whether Bankman-Fried manipulated the market for two cryptocurrencies, leading to their collapse and the implosion of his own exchange.

© Reuters. FILE PHOTO: Representative and chairwoman Maxine Waters (D-CA) attends the House Financial Services Committee hearing on Capitol Hill in Washington, U.S., September 30, 2021.  Al Drago/Pool via REUTERS/File Photo

Bankman-Fried was considered a crypto wunderkind and was one of the largest donors to Democratic Party candidates and causes before FTX filed for bankruptcy last month.

He said last week that he would not be surprised if he traveled to Washington for congressional hearings, while appearing to distance himself from suggestions of fraud.

Latest comments

between the pump and dumps,a la musk doggies, the daily hackings, the fraud and the outright theft of blockchain coins, oh and the massive losses incurred by investors, renders cryptos obsolete. it is however used well by organized crime and tax fraud. I see the end of bitcoins coming!
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.