Four new charges against Sam Bankman-Fried were unsealed on Thursday.
Prosecutors say FTX.US was denied opening a California bank account as it wasn't a licensed money services business.
So SBF created a new company to take customer deposits, an indictment says.
When a California bank refused to give FTX an account in early 2020 because it wasn't registered as a money services business, prosecutors say that Sam Bankman-Fried started a new company to skirt that prohibition, and subsequently made false statements on a due dilligence questionnaire.
The allegations form part of new charges against Bankman-Fried unsealed this week for conspiracy to commit bank fraud, and conspiracy to operate an unlicensed money-transmitting business – two of four new counts that were made public Thursday. The bank's name was not revealed in the court filing.
The low-profile company, called North Dimension, was founded in August 2020 and was previously revealed in other complaints against Bankman-Fried. Last December, the Securities and Exchange Commission said that some FTX customers were told to make their deposits to North Dimension.
While the company didn't appear to have any links to FTX or its sister hedge fund, Alameda, the SEC said "Bankman-Fried had directed FTX to have customers send funds to North Dimension in an effort to hide the fact that the funds were being sent to an account controlled by Alameda."
Bankman-Fried previously told Bloomberg he "misaccounted" $8 billion after...
Field Marshal Lord Bramall, one of Britain’s greatest soldiers, was known affectionately to his grandchildren as “Papa”. Alex Bramall, his grandson, a fashion photographer, was particularly close ...