Just lately revealed courtroom data present that Alvarez & Marsal, monetary advisors concerned within the chapter proceedings of FTX, have shared buyer knowledge, together with transaction data, with legislation enforcement businesses amid ongoing investigations.
Billing data from Alvarez & Marsal, the appointed chapter advisors, point out that they offered this knowledge in response to subpoenas from at the least 5 Federal Bureau of Investigation (FBI) area places of work throughout the US, together with Oakland, Portland, Philadelphia, Cleveland, and Minneapolis.
The data disclosed to legislation enforcement included particulars obtained from particular buyer transactions, account investigations, and knowledge from cloud computing.
The courtroom paperwork reveal that among the knowledge obtained in September is related to particular system IDs. To entry this knowledge, the advisors utilized FTX’s Amazon cloud service, the place the change had saved its personal keys.
Alvarez & Marsal additionally performed investigations into buyer accounts and transactions in July, in addition to the extraction of transaction-related buyer data in August.
Whereas it’s confirmed that buyer knowledge was shared, the precise extent of the knowledge offered stays undisclosed. Nonetheless, the chapter courtroom has taken measures to guard the identities of FTX’s clients following the Chapter 11 submitting. This motion was taken to safeguard clients from potential dangers like hacking, phishing, and different associated scams.
Regardless of considerations surrounding the information sharing, it underscores FTX’s cooperation with legislation enforcement businesses. The newly appointed CEO of FTX, John J. Ray III, has reportedly been cooperating with legislation enforcement businesses since he took over.
This improvement comes within the wake of the current conviction of former FTX CEO Sam Bankman-Fried in a New York courtroom on Nov. 2. Bankman-Fried was discovered responsible of all seven prices, and his sentencing is scheduled for March 2024, with the potential of a prolonged jail time period.
