Sam Bankman Fried’s mother and his former on-again, off-again girlfriend Caroline Ellison are refusing to cooperate with the investigation into the collapse of failed cryptocurrency exchange FTX, according to the now-bankrupt company’s lawyers.
Former FTX executives, including co-founder Gary Wang, are also allegedly stonewalling investigators who are working on behalf of the company in an effort to recover assets in hopes of reimbursing customers affected by the crypto exchange’s implosion.
The allegations were laid out in court papers that were filed on Wednesday and cited on Friday by the news site Insider.
The Post has sought comment from representatives for Bankman-Fried’s mother, Barbara Fried, Ellison and Wang.
“Certain insiders are currently cooperating with the Debtors to provide important information,” attorneys for FTX wrote in the filing that was submitted to federal bankruptcy court in Delaware earlier this week.
“But others are not, and thus authorization to issue subpoenas to those with the missing information is critical to the Debtors’ and Committee’s recovery efforts,” the lawyers wrote.
FTX is seeking documents and information from Fried, 71; her husband, fellow Stanford law professor Joseph Bankman, 68; their younger son and Bankman-Fried’s brother Gabriel Bankman-Fried, 29; Ellison, 28; FTX co-founder Nishad Singh, 27, and Wang.
The company wants to compel the parties mentioned to provide documents related to its investigation.
While FTX acknowledges that some of the parties have responded to their letters, none have come forward voluntarily to provide requested documents and information, the filing states.
Singh, a member of Sam Bankman-Fried’s inner circle who was head of engineering at FTX, met earlier this month with federal prosecutors — a possible sign he is considering cooperating with their criminal investigation.
Singh has not been charged in connection to FTX’s implosion, but his attendance signaled he is seeking a plea deal, according to Bloomberg News.
Ellison was CEO of Alameda Research, the hedge fund founded by Sam Bankman-Fried. It’s been alleged that Bankman-Fried diverted billions to Alameda Research from customer funds placed with the FTX crypto exchange.
Ellison and Wang both pleaded guilty to fraud charges last month. They are said to be cooperating with federal investigators.
Bankman-Fried’s parents were listed as the owners of a $16.4 million home in the Bahamas. They claimed that they were in the process of selling the property back to FTX before the company filed for Chapter 11 bankruptcy in early November.
Sam Bankman-Fried, who is under house arrest in his parents’ $4 million Palo Alto home, has pleaded not guilty to several charges listed in a federal indictment, including money laundering and wire fraud. His parents and his brother have yet to be charged.
If convicted, Sam Bankman-Fried, who was freed on $250 million bond, faces up to 115 years in prison.