Lawyers for FTX Trading have filed a lawsuit accusing the parents of its founder Sam Bankman-Fried of exploiting their influence over their son to syphon millions of dollars from the company.
The lawsuit alleges that Bankman, a Stanford University law professor and expert in tax law, and Fried, a retired Stanford law professor, participated in the wrongdoing that led to the collapse of FTX and resulted in both criminal and civil investigations. “This is a dangerous attempt to intimidate Joe and Barbara and undermine the jury process just days before their child’s trial begins,” lawyers for Bankman and Fried wrote.
The complaint also states that more than 18.9 million dollars in FTX funds was used to purchase a 30,000-square-foot luxury residence in the Bahamas for Bankman and Fried, who also benefited from more than 90,000 dollars in FTX-funded expenses to furnish and maintain the property.
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