– FTX lawyers have filed a motion to question co-founder Sam Bankman-Fried, his brother Gabriel Bankman-Fried, and his parents Joseph Bankman and Barbara Fried in regards to the bankruptcy case.
– The motion additionally intends to question top deputies of Bankman-Fried, such as co-founder Gary Wang and ex-Alameda Research CEO Caroline Ellison.
– FTX CEO John J. Ray III told Congress that Joseph Bankman and his family received payments from FTX, and that Barbara Fried’s political action committee Mind the Gap also received funds from the company.
FTX Trading Ltd. and the official creditors committee in the FTX bankruptcy case recently filed a joint motion that seeks to question co-founder Sam Bankman-Fried, his brother Gabriel Bankman-Fried, and his parents Joseph Bankman and Barbara Fried for financial insight. The filing also intends to question some of Bankman-Fried’s top deputies, including FTX co-founder Gary Wang, ex-Alameda Research CEO Caroline Ellison, the former chief operating officer Constance Wang, and the exchange’s former director of engineering Nishad Singh.
The motion states that „certain insiders are currently cooperating with the debtors to provide important information. But others are not, and thus authorization to issue subpoenas to those with the missing information is critical to the debtors‘ and committee’s recovery efforts.“
FTX CEO John J. Ray III told Congress that Joseph Bankman and „the family certainly received payments“ from FTX. Bankman and Barbara Fried have not been charged with any wrongdoing, but the recent court filing claims they both had associations with the firm. The motion alleges that Fried’s political action committee (PAC) Mind the Gap received funds from FTX. Barbara Fried „has ignored the requests altogether,“ the joint motion discloses. Bankman allegedly gave tax advice to FTX, and Gabriel Bankman-Fried was a „prominent consultant for the company“ according to the filing.
The joint motion further states that „the debtors and creditors committee must have the ability to question and obtain documents from these individuals to complete its investigation into the many potential sources of recovery for the estate.“ FTX’s attorneys are pushing for a subpoena to question these individuals and gain insight into the financial history of the company.
The creditors committee and FTX attorneys believe that information obtained from the Bankman-Fried family, top deputies, and inner circle could be critical to the recovery efforts of the company. Should the motion be granted, the attorneys will be able to subpoena the individuals and question them regarding their involvement with FTX and insight into the financial matters of the company.