SBF, FTX execs reportedly spend millions on properties in the Bahamas
The latest revelations from the FTX case show that Bahamian properties worth millions were purchased in the company’s name. FTX, then run by Sam Bankman-Fried (SBF), his parents and other high-level company executives, reportedly bought at least 19 properties in the Bahamas in the past two years.
The purchases are worth more than $121 million, according to a Reuters report from official property records.
Among the acquired properties were seven luxury condos. While the occupants of the condos remain unknown at the time of writing, the property deed claims they were to be used as “residence for key personnel” of the defunct exchange.
Additionally, an estate valued at $16.4 million has SBF’s parents, Joseph Benkman and Barbara Fried, as cosigners. Apparently, the deed has a “holiday home” with documents dating back to June 15 of this year.
According to initial reports, a spokesperson for the couple did not respond to questions about how the resort property was acquired and whether FTX funding was involved. Only this couple tried to return the property to FTX before bankruptcy:
Since before the bankruptcy proceedings, Mr. Bankman and Ms. Farid have sought to return the document to the company and are awaiting further instructions.
FTX moved its headquarters from Hong Kong to the Bahamas in September 2021, which was purchased for $60 million, and was inaugurated in April this year. The official channel of the Prime Minister of the Bahamas released a video of the ceremony.
However, according to media reports from a recent visit to the property, the space has remained untouched for months.
Related: The Bahamian securities regulator has ordered the transfer of FTX digital assets
As the liquidity crisis and bankruptcy scandal unfolded, Bahamian authorities placed Sam Benkman-Fried and two former partners in the former exchange “under surveillance” in the country, where they remain.
Court documents after the initial bankruptcy filing revealed that the company may have more than a million creditors in total, owing a total of more than $3 billion to the 50 largest creditors.
On November 21, a US Senate committee announced an FTX hearing scheduled for December 1, during which the chairman of the Commodity Futures Trading Commission (CFTC) will testify.