• US prosecutors are looking into the activities of former FTX engineer Nishad Singh, who is believed to have borrowed $543 million from Alameda.
• If found guilty, Singh could face charges as soon as February.
• US Attorney Damian Williams has hinted that they will be looking further into SBF’s inner circle as part of their investigation.
The United States federal prosecutors in Manhattan are getting closer to the heart of SBF’s inner circle, with the latest being Nishad Singh, the former FTX Director of Engineering. Reports suggest that Singh had borrowed a staggering $543 million from Alameda, and if found guilty, could be charged as soon as February.
The US Attorney for the Southern District of New York, Damian Williams, has hinted that the authorities are looking into SBF’s inner circle as part of their investigation. “If you participated in misconduct at FTX or Alameda, now is the time to get ahead of it. We are moving quickly and our patience is not eternal,” Williams said.
The FTX and Alameda scandal involves a number of complex multi-chain transactions that have taken place over the course of several years. It is believed that the crisis began more than twelve months ago and the company was silently struggling.
Besides the legal implications, Singh has also been involved in the US midterm elections as a prolific donor. According to the Federal Election Commission records, Singh has donated a total of $9.3 million since 2020 to Democratic aspirants. Although it may seem like a large amount of money, it is a drop in the ocean when compared to SBF’s $2 billion total donations.
It is yet to be seen how the white-collar crime court in New York will handle the deconstruction of the FTX and Alameda scandal. It is also uncertain how the US prosecutors will handle the investigation of SBF’s inner circle. However, one thing is for sure, the consequences could be huge for those involved.