A person involved with the Ultimate Bet online poker scandal from the late 2000s reportedly has flipped on the notorious Sam Bankman-Fried in the FTX crypto-related collapse.
The New York Post friedberg-flips-on-ftxs-sam-bankman–fried/”>reported that Daniel Friedberg — the former FTX “chief regulatory officer” — has turned on Bankman-Fried, his former boss, and has been cooperating with the government for weeks.
Reuters reported that Friedberg met with the feds in late November.
“The former FTX the lawyer reportedly has also dished to the feds about his conversations with other top executives about the use of customer funds, as well as the inner workings of Bankman-Fried’s cryptocurrency hedge fund, Alameda Research,” the Post reported.
“The FBI first contacted Friedberg on Nov. 14, just three days later FTX filed for bankruptcy. Friedberg resigned from his in-house role at FTX on Nov. 8 after learning the extent of the platform’s financial problems. Following the contact, Friedberg asked FTX if he could waive his attorney-client privilege and speak to the authorities. FTX reportedly declined the request but cleared him to speak about certain points of knowledge.”
“I want to cooperate in all respects,” Friedberg reportedly told the FBI in an e-mail.
Friedberg reportedly has not been charged with a crime related to the FTX case. According to Reuters, Friedberg is expected to testify against Bankman-Fried during his criminal trial in October of this year. Other members of Bankman-Fried’s inner circle are cooperating with the federal government in the case.
Bankman-Fried’s alleged scam was worth billions of dollars.
Friedberg was involved with the Ultimate Bet operation that scammed some high-stakes online poker players out of millions of dollars. He was never charged.
“Friedberg was an attorney for Ultimate Bet and was caught on tape advising executives on how to minimize restitution payments to the poker players who were scammed,” the Post reported.
- New York approves gun law requiring buyers to provide social media handles
- Enforcement of new structural safety law examined
- Rabbi sues Florida over abortion ban law arguing it infringes on religious liberty
- Maryland law expanding who can perform abortion takes effect
- Why a good lawyer never ignores the court of public opinion