FTX Will Look to Retrieve Voluntary Payments From Third Parties, Possibly Including SBF's Political Donations
Bankrupt crypto exchange FTX will attempt to recoup voluntary payments made to third parties prior to its collapse, pursuing them in court if necessary.
These payments may include founder and former CEO Sam Bankman-Fried's political donations in recent years. FTX did not immediately respond to CoinDesk's request for clarity on this point.
FTX said Monday it had been "approached by a number of recipients of contributions or other payments" looking to return what they had received from Bankman-Fried or other FTX executives.
"To the extent such payments are not returned voluntarily, the FTX debtors intend to commence actions before the bankruptcy court to require the return of such payments, with interest accruing from the date any action is commenced," the company added.
Bankman-Fried became one of the U.S.' most prominent political donors prior to his fall from grace. As of May this year, he had spent almost $40 million on political campaigns in 2022, with the Democratic party the main beneficiary.
Among the candidates to receive such donations was Rep. Ritchie Torres (D-N.Y.), who last week told CoinDesk TV he would be giving the $2,900 "unsolicited donation" from Bankman-Fried to a local charity.
Former Texas Democratic candidate for governor Beto O'Rourke last month returned the $1 million contribution he received from Bankman-Fried.
Read more: Embattled Crypto Firm FTX Wants to Sell Its Functioning Units, Including LedgerX