US DOJ Reveals Seizure of $465M in Robinhood Shares & $20M Fiat Currency

In accordance with the US DOJ, the Robinhood shares have drawn possession claims from a number of events, together with SBF and FTX collectors.

The US Division of Justice (DOJ) just lately disclosed that it seized a bit over 55 million Robinhood shares valued at greater than $450 million. The federal legislation enforcer additionally mentioned it confiscated greater than $20 million in fiat foreign money. In accordance with the US DOJ, the seized Robinhood shares and US foreign money align with its ongoing legal case towards Sam Bankman-Fried. The disgraced former FTX CEO is dealing with legal expenses in New York following his extradition from the Bahamas in late December.

In a January sixth court docket submitting, the DOJ formally notified the court docket dealing with the BlockFi chapter of its asset’s seizure. In accordance with the US federal government division, the 55,273,469 Robinhood shares are allegedly linked to BlockFi, SBF, and FTX creditor Yonathan Ben Shimon. Each events beforehand made competing claims to the buying and selling app’s inventory. In the meantime, the DOJ additionally mentioned it took possession of greater than $20 million in US foreign money from ED&F Man Capital Markets.

A part of the DOJ court docket submitting read:

“The costs within the Indictment come up from an alleged wide-ranging scheme by the defendant to misappropriate billions of {dollars} of buyer funds deposited onto FTX, the worldwide cryptocurrency alternate based by Bankman-Fried.”

The doc additionally states:

 “The Indictment contains forfeiture allegations, looking for to forfeit property that constitutes or was derived from proceeds traceable to the conspiracy to commit wire fraud, wire fraud, and property concerned within the conspiracy to commit cash laundering.”

US DOJ Alleges SBF Sought Entry to Robinhood Shares to Pay Authorized Charges

The Division of Justice opined that SBF laid declare to the Robinhood inventory to assist pay his authorized charges. Nevertheless, the DOJ additionally mentioned that it didn’t imagine the stake was a part of the FTX chapter property. In the meantime, weighing in on the competing claims to the Robinhood inventory, US Lawyer Seth Shapiro steered a decision through forfeiture proceedings. Along with SBF and Ben Shimon, liquidators in Antigua have additionally claimed the $465 million Robinhood stake.

In associated information, BlockFi alleges that SBF used the Robinhood stake as collateral for his buying and selling agency Alameda Analysis.

In accordance with stories, the DOJ additionally seized different property linked to the failed alternate through separate court docket filings. These embrace $93 million in funds held at California crypto financial institution Silvergate Capital Corp.

In gentle of FTX’s demise, collectors and prospects have been sifting by means of the alternate’s stays for salvageables. This last-gasp try to retrieve any funds comes as numerous collectors transfer to realize management of the sunken crypto’s property.

SBF has pleaded not responsible to the eight legal expenses towards him, together with wire fraud and misuse of buyer funds. Nevertheless, former Alameda Analysis CEO Caroline Ellison and FTX co-founder Gary Wang beforehand pleaded responsible to comparable expenses.

SBF’s trial begins on October 2nd, and if discovered responsible, the once-celebrated crypto persona might withstand 115 years in jail.

Blockchain News, Business News, Cryptocurrency news, Market News, News

Tolu Ajiboye

Tolu is a cryptocurrency and blockchain fanatic based mostly in Lagos. He likes to demystify crypto tales to the naked fundamentals in order that anybody anyplace can perceive with out an excessive amount of background information.
When he is not neck-deep in crypto tales, Tolu enjoys music, likes to sing and is an avid film lover.

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