Caroline Allison will be sentenced for her role in the fall of the cryptocurrency empire FTX by Sam Bankman-Fried: what did she do?
24 september 2024 в 17:13
Caroline Allison will be sentenced for her role in the collapse of the cryptocurrency empire FTX by Sam Bankman-Fried. The 29-year-old woman worked as the CEO of Alameda Research, a trading firm associated with FTX. After the business went bankrupt in 2022, Allison took responsibility for her involvement in the business’s billion-dollar debt. But what exactly did she do?
Find out all about Allison and her connections to Bankman-Fried below.
Allison, originally from Boston, graduated from Stanford University with a degree in mathematics in 2016. After two internships at a trading firm in New York, she progressed to a permanent position. Allison then became a stock trader in a group led by Bankman-Fried at the time. They had similar interests, and in 2018, Bankman-Fried offered Allison to join him at Alameda Research. By 2021, Allison became a co-CEO of Alameda Research, and then the sole CEO in mid-2022.
During her time at Alameda Research, Allison and Bankman-Fried began a romantic relationship.
After Alameda filed for Chapter 11 bankruptcy at the end of 2022, Allison was fired from her position as CEO. That same year, she pleaded guilty to two wire fraud cases, two conspiracy cases to commit wire fraud, conspiracy to commit securities fraud, and conspiracy to launder money.
Since Allison cooperated with law enforcement in their case against Bankman-Fried, Allison’s lawyers requested leniency.
«From the very beginning, Mr. Bankman-Fried's behavior was unstable and manipulative», - wrote Allison’s lawyers in a court document, according to the Associated Press. «At first, he expressed strong feelings to Caroline and assumed that their relationship would develop into a full-fledged one. But after a few weeks, he began ignoring Caroline without explanation, avoiding her outside of work, and refusing to respond to messages unrelated to work».
Allison’s lawyers also claimed that she «approached her cooperation with remarkable candor, remorse, and seriousness» during «many meetings with the government».
«She dedicated herself to an extensive document review that helped uncover key corroborating evidence in an investigation complicated by Bankman-Fried's systematic destruction of evidence», - the court document said, according to AP. «Caroline blames no one but herself for what she did. She deeply regrets her role and will carry shame and remorse for the rest of her days».
Allison’s lawyers insist that she be given minimal or no prison sentence. However, if she is found guilty of all the charges she pleaded guilty to, the former CEO of Alameda Research faces up to 110 years in prison, according to ABC News.
Her sentence will be announced on Tuesday, September 24.
Earlier this year, Bankman-Fried was sentenced to 25 years in prison. In March, he was ordered to pay over $ 11 billion for fraud against clients and investors. Bankman-Fried filed an appeal after the verdict
Find out all about Allison and her connections to Bankman-Fried below.
Allison, originally from Boston, graduated from Stanford University with a degree in mathematics in 2016. After two internships at a trading firm in New York, she progressed to a permanent position. Allison then became a stock trader in a group led by Bankman-Fried at the time. They had similar interests, and in 2018, Bankman-Fried offered Allison to join him at Alameda Research. By 2021, Allison became a co-CEO of Alameda Research, and then the sole CEO in mid-2022.
During her time at Alameda Research, Allison and Bankman-Fried began a romantic relationship.
After Alameda filed for Chapter 11 bankruptcy at the end of 2022, Allison was fired from her position as CEO. That same year, she pleaded guilty to two wire fraud cases, two conspiracy cases to commit wire fraud, conspiracy to commit securities fraud, and conspiracy to launder money.
Since Allison cooperated with law enforcement in their case against Bankman-Fried, Allison’s lawyers requested leniency.
«From the very beginning, Mr. Bankman-Fried's behavior was unstable and manipulative», - wrote Allison’s lawyers in a court document, according to the Associated Press. «At first, he expressed strong feelings to Caroline and assumed that their relationship would develop into a full-fledged one. But after a few weeks, he began ignoring Caroline without explanation, avoiding her outside of work, and refusing to respond to messages unrelated to work».
Allison’s lawyers also claimed that she «approached her cooperation with remarkable candor, remorse, and seriousness» during «many meetings with the government».
«She dedicated herself to an extensive document review that helped uncover key corroborating evidence in an investigation complicated by Bankman-Fried's systematic destruction of evidence», - the court document said, according to AP. «Caroline blames no one but herself for what she did. She deeply regrets her role and will carry shame and remorse for the rest of her days».
Allison’s lawyers insist that she be given minimal or no prison sentence. However, if she is found guilty of all the charges she pleaded guilty to, the former CEO of Alameda Research faces up to 110 years in prison, according to ABC News.
Her sentence will be announced on Tuesday, September 24.
Earlier this year, Bankman-Fried was sentenced to 25 years in prison. In March, he was ordered to pay over $ 11 billion for fraud against clients and investors. Bankman-Fried filed an appeal after the verdict
© Zhinobaeva Margarita
