Sullied Sam Bankman-Fried, the creator of FTX, has been formally named as a witness for this week’s Congressional hearing on the crypto exchange’s demise.
According to a recent government document, the former CEO of the insolvent crypto business has been summoned to appear as a witness before the House of Representatives Committee on Financial Services on December 13th at 10 a.m. (EST).
John J. Ray III, who took over as CEO of FTX last month when Bankman-Fried left, is also being summoned as a witness.
Ray will testify in front of Bankman-Fried, who is accused of mishandling client cash by lending them to his other firms, failing to properly manage risk, and engaging in market manipulation.
Earlier this week, Democratic Congresswoman Maxine Waters, the chairman of the House Financial Services Committee, requested Bankman-Fried to appear at the meeting.
“Based on your job as CEO and your recent media comments, it is evident to us that the material you have so far is adequate for testifying.”
As you are aware, the failure of FTX has damaged over a million individuals. Your testimony would be important not just to members of Congress, but also to the American people.
It is critical that you attend our hearing on the 13th, and we are open to arrange further hearings if new material becomes available later.”
Bankman-Fried, on the other hand, claims he will be constrained in what he can say during his evidence since he will not have access to the essential data.
“I still don’t have access to much of my professional or personal data.” So I won’t be able to say as much as I’d want, and I won’t be as helpful as I’d like. However, if the Committee still believes it would be beneficial, I am ready to testify on the 13th.”