Senators Warren, Durbin call on Bankman-Fried for info on FTX's historical balance sheets
Quick Take
- Senators Elizabeth Warren, D-Mass., and Dick Durbin, D-Ill., have called on FTX’s former and current CEOs to provide disclosures of internal transactions and accounting, which recent reports increasingly call into question.
Key Senate Democrats are joining the calls for more disclosure of the historical finances of bankrupt crypto exchange FTX and the cluster of firms that had ties to it and founder Sam Bankman-Fried.
"These massive losses raise questions about the behavior of former FTX CEO Sam Bankman-Fried and other company executives," Senators Elizabeth Warren, D-Mass., and Dick Durbin, D-Ill., wrote to Bankman-Fried and his emergency replacement, John Ray.
"Please provide complete copies of all FTX and FTX-subsidiary balance sheets, from 2019 to the present," the letter continued, running through a laundry list of other suspect transactions and accounting practices that have cropped up in news reports since the firm imploded last week.
The letter also copied Gary Gensler and Rostin Behnam, the respective heads of the Securities and Exchange Commission and the Commodity Futures Trading Commission. The two market regulators have been vying for authority over crypto exchanges.
Recent bankruptcy filings have shown Ray, who was part of the post-mortem on Enron's collapse, to be facing similar struggles dissecting the accounting and transactions of the firm.
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