New FTX CEO John Ray: Commingling Client Funds Not an Accident
New FTX CEO John Ray testifies before the U.S. House Financial Services Committee on Tuesday. This is the first hearing in the committee’s public investigation into the collapse of the crypto exchange.
During the hearing, Ray told the committee that usage of FTX customer funds by Alameda was intentional, not an accident.
FTX founder Sam Bankman-Fried was also scheduled to testify remotely, but he was detained by Bahamian law enforcement Monday evening. This comes after a U.S. court shared a sealed indictment with the authorities of the island nation.
FTX filed for U.S. bankruptcy protection on Nov. 11, and Bankman-Fried resigned as CEO on the same day. Ray replaced Bankman-Fried as chief executive to oversee the bankruptcy proceedings and locate missing funds….