Turkey’s Financial Crimes Investigation Board has seized assets belonging to SBF after launching an investigation into FTX’s affairs in the country.
Following the failure of his primary business, the nation’s Financial Crimes Investigation Board, locally known as MASAK, seized assets belonging to former FTX CEO Sam Bankman-Fried.
Following the bankruptcy of Bankman-primary Fried’s business, the Turkish government’s MASAK agency released an official statement outlining preliminary findings and steps taken against the company. On November 14, MASAK started an inquiry.
The most recent MASAK release, which summarized three important findings from the inquiry, was translated. The Turkish investigative authority discovered that FTX mishandled user funds, embezzled money from clients through dubious business dealings, and manipulated supply and demand by allowing users to buy and sell listed cryptocurrencies that were not backed by genuine cryptocurrency holdings.
In light of these revelations, MASAK confiscated the assets of Bankman-Fried and its associates after developing a substantial “criminal suspicion” over the aforementioned details.
The FTX TR website is still operational, however it just displays a message telling users how to get account balances. Users are prompted to share their unique Turkish Lira IBAN information and Turkish identity number via a link.
According to a LinkedIn post from FTX TR, since the debut of its mobile application earlier in 2022, the exchange has executed an average monthly transaction volume of $500 to $600 million and has over 110,000 members. There were 27 workers for the company.
The corporation had made an effort to transfer users’ FTX TR amounts to their bank accounts, according to the message.An ex-executive from Binance who previously oversaw the growth of international operations in Turkey, the CIS, and the EU managed FTX TR.
In order to find out whether the local operation was aware of unethical business practices by its parent company, the former FTX TR head was contacted. The sixth-highest number of visits overall, 187,000 unique visitors every month, came from Turkey, according to a local media report.John Ray III, the new CEO, is overseeing the bankruptcy processes for FTX at the moment.
The person in charge of investigating the historic collapse of Enron in the early 2000s said the FTX fiasco was the worst thing he had ever witnessed in his line of work. In order to maximize recoverable value for stakeholders, FTX’s global assets are now being strategically reviewed as part of the bankruptcy procedures.
