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FTX Former Employee Collaborates With Authorities To Secure Plea Deal

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ByMaria Fairchild

Jan 14, 2023

Former FTX employee, Nishad Singh collaborates with federal authorities to negotiate a cooperation deal concerning the fraud case that resulted in FTX collapse. Additionally, authorities are looking into FTX’s connections to political campaigns.

Fraud Case Investigation

According to reports, Sam Bankman Fried’s close associate, Nishad Singh is attempting to negotiate a plea agreement with the authorities. In order to discuss a plea deal with the authorities, he reportedly met with federal agents to discuss the events of the money laundering case that led to the FTX meltdown in October.

According to a report, this FTX former employee met with these federal authorities to strike a deal for the information he has. 

Meetings with authorities in this case always involve individuals divulging information to the authorities about what they know on a specific case.

This was also observed by the former CEO of Alameda Research, who confessed to money laundering accusations during one of these sessions with the authorities.

Federal agencies are also looking into the FTX’s political ties.

Ever since news went around of FTX’s financial crises and the firm breaking numerous financial laws, authorities are looking forward to hear what Singh has to say about FTX contributions to political campaigns.

Singh’s Numerous Donations

Over the course of his time in the crypto space, Singh has contributed a variety of donations to political causes.

With Singh’s official statement on the case in this session, the authorities will better understand 

FTX’s dealings with the political sector.

His plea agreement request will also be granted if the information he reveals to the authorities is significant and credible.

Since 2020, Singh has made several donations to firms outside and inside the cryptocurrency sector. He contributed over $6 million to the American Democratic party in their campaigns.  He also contributed to a political movement founded by Sam Bankman Fried’s mother, according to a 2021 report.

He also received a loan of over $500 million from the FTX exchange according to a court filing.

Singh is currently being investigated by the Securities and Exchange Commission on some of his dealings while he was working at the FTX exchange before the crash in October.

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