The US government has declared bankruptcy cryptocurrency exchange seized, or is currently in the process of confiscation, hundreds of millions of dollars worth of Robinhood stock as part of a fraud lawsuit against FTX founder Sam Bankman-Fried.
FTX’s Bank Accounts In The Bahamas Also Seized
Attorney James Bromley, who is leading the main FTX bankruptcy case in the US, also said that the US government seized assets in bank accounts belonging to parts of the FTX units in the Bahamas that were linked to the bankruptcy.
The seizures began as part of a fraud case against Bankman-Fried and other top FTX officials.
The shares, currently valued at more than $460 million, have been claimed by various creditors of FTX, who have filed lawsuits to gain control of the shares.
Seth B. Shapiro, an attorney for the US Department of Justice, said in a video hearing that a court hearing will eventually be held to determine what happens to the shares and assets confiscated from bank accounts.
Justice Department attorney Seth Shapiro told the Delaware bankruptcy court on Wednesday that one of the petitions filed “related to Robinhood shares, which the federal government has also seized.”
“We believe these assets are not bankruptcy properties, so they don’t need to be frozen like most FTX assets,” Shapiro told Judge John Dorsey.
Bankman-Fried was extradited from the Bahamas last month to stand trial in the United States on fraud charges.
*Not investment advice.
For exclusive news, analytics and on-chain data Telegram our group, twitter our account and YouTube Follow our channel now! Moreover Android and iOS Start live price tracking right now by downloading our apps!