SEC Finalizes Civil Judgments Against Key FTX and Alameda Executives
The SEC finalized civil settlements imposing officer/director bans on former FTX and Alameda executives Caroline Ellison, Gary Wang, and Nishad Singh.Summary
The Securities and Exchange Commission (SEC) has finalized proposed civil consent judgments against three key former executives of FTX and Alameda Research: Caroline Ellison (former Alameda CEO), Gary Wang (former FTX CTO), and Nishad Singh (former FTX co-lead engineer). These judgments, pending court approval, formally conclude a significant part of the SEC's case following the crypto exchange's collapse. The SEC alleged that FTX falsely portrayed itself as safe while secretly granting Alameda special privileges, including an unlimited line of credit backed by customer deposits, which Ellison used for trading and investments. Wang and Singh allegedly built the software enabling the diversion of customer funds to Alameda. Without admitting or denying the allegations, all three agreed to permanent injunctions against violating securities laws. Ellison consented to a 10-year ban from serving as an officer or director of a public company, while Wang and Singh agreed to 8-year bans in similar roles, alongside 5-year conduct-based injunctions.
(Source：BeInCrypto)