US prosecutors are reportedly assembling a potential fraud indictment against disgraced crypto mogul Sam Bankman-Fried — and speculation is growing that his ex-girlfriend Caroline Ellison could become a stool pigeon in the case.
Justice Department officials in the Southern District of New York are reportedly scrutinizing the alleged transfer of hundreds of millions of dollars from the US to the Bahamas right around the time that his FTX cryptocurrency exchange filed for Chapter 11 bankruptcy protection, according to Bloomberg News.
Federal prosecutors in Manhattan also are probing whether Bankman-Fried manipulated crypto markets by orchestrating trades that led to the collapse of the TerraUSD cryptocurrency earlier this year, according to previous reports.
