• The U.S. government is negotiating with PACs to recover $13.25M in donations from former FTX executives.

  • Political groups tied to Democrats received funds from FTX's Bankman-Fried and Singh, totaling $13.25M.

  • Former FTX exec Nishad Singh testified he made donations under Bankman-Fried's request, aiding the case.

The U.S. government is in talks to recover $13.25 million in political contributions given by ex-FTX leaders. Judge Lewis Kaplan, presiding over the criminal case involving Sam Bankman-Fried and his comrades, granted the government's plea for an extension. This extension allows discussions to continue until January 15.

https://twitter.com/BaldrWear/status/1852649770461864411 Government Aims to Recover Funds from PACs

The extension permits officials to negotiate with political action committees regarding the process to forfeit funds linked to Bankman-Fried and his co-conspirators. The filing identifies several PACs, including the Senate Majority PAC, Future Forward PAC, Future Forward USA Action, Emily’s List/Women Vote, and GMI PAC. These groups generally support Democratic candidates or liberal causes.

Details of FTX-Related Contributions

OpenSecrets data shows that Bankman-Fried and Nishad Singh, former head of engineering at FTX, directed around $13.25 million in donations to these groups. Singh admitted he made these contributions at Bankman-Fried’s request and sometimes signed blank checks that were later used for donations. 

Singh’s cooperation and testimony against Bankman-Fried resulted in a sentence of time served and three years of supervised release, allowing him to avoid prison.

Breakdown of Specific Donations

Records reveal that the Future Forward PAC received $1 million from Singh and $5 million from Bankman-Fried. The GMI PAC received $2 million. The Senate Majority PAC, which benefited from Democratic control of the Senate since January 2021, obtained $2 million from Singh and $1 million from Bankman-Fried. Additionally, Women Vote received $2.25 million from Singh. These donations total up to $13.25 million. The actual amount may be higher if contributions were made to other donors.

Some PACs and politicians have returned funds connected to Bankman-Fried following the collapse of FTX. This ongoing negotiation signals a significant step in the government’s push to recover misused funds associated with the defunct cryptocurrency exchange.

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