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Fallen FTX sues Ryan Salame for $98.8 million over alleged fraud

Author: Content Editor
FTX exchange has filed a lawsuit against its former co-CEO, Ryan Salame, seeking to recover $98.8 million in cash and cryptocurrency. FTX accuses Salame of assisting other executives, including founder Sam Bankman-Fried, in breaching fiduciary duties and misappropriating customer assets. The exchange alleges that Salame personally gained from his involvement and received significant compensation, including $52.9 million in wire transfers, $29.8 million in cash and crypto withdrawals, and over $7.7 million in salary and bonuses. Salame reportedly acquired nine million FTT tokens, sold 1.1 million for $24 million, and invested the proceeds in luxury cars, businesses, and other assets. FTX also highlights Salame's guilty plea in unrelated charges, including conspiring to make false statements to banks and making excessive political donations. The exchange has asked the court to disallow Salame's claims in their bankruptcy proceedings until he returns the allegedly misappropriated assets, which include cash, cryptocurrency, and real estate across multiple locations. Salame is currently serving a 90-month prison sentence and has agreed to forfeit $1.5 billion in unrelated charges.

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