A watchdog group has demanded an investigation into Sam Bankman-Fried’s political donations, alleging that the former FTX CEO admitted to giving tens of millions of dollars to Republicans under the table, in violation of federal law.

Citizens for Responsibility and Ethics in Washington (CREW) filed the complaint with the Federal Election Commission (FEC) on Dec. 8, citing comments made by Bankman-Fried in a Nov. 16 interview with cryptocurrency vlogger Tiffany. Fong posted via YouTube in November. 29.

CREW suggested in its complaint that wealthy donors often take advantage of Citizen United’s ruling to evade federal disclosure laws by using intermediaries and claiming they did not know where the funds ended up, but that Bankman-Fried’s admission denies this plausible deniability. As CREW Senior Vice President and Senior Advisor Donald Sherman points out:

Bankman-Fried said the quiet part out loud. He admitted that he violated federal laws designed to ensure Americans have transparency in funding choices and now he must be held accountable.”

CREW has asked the FEC to investigate the violation and take any further action that is appropriate, such as referring the matter to the Department of Justice for criminal prosecution.

The group accused Bankman-Fried of “direct and serious violations of the Federal Election Campaign Act,” which requires the disclosure of political donations of more than $200 a year.

Related: FTX’s Bankman-Fried to Face Market Manipulation Probe, Do Kwon Steps In

In the November 16 interview with Fong, Bankman-Fried claimed to have “donated about the same amount to both parties.” Given that he was the second largest donor to the Democrats, according to OpenSecrets, these “dark” donations seem to imply a substantial amount. amount of money.

“All my Republican donations were obscure,” SBF noted, before adding:

“The reason wasn’t for regulatory reasons, it’s because reporters go crazy if you donate to Republicans, they’re all super liberal. And I didn’t want to have that fight.”

Bankman-Fried has been on something of an apology tour since her fall from grace, making a variety of public appearances including interviews with The New York Times’ DealBook Summit, Good Morning America, and plenty of Twitter slots.

He has repeatedly claimed that he is conducting these interviews against the advice of his lawyers, who have advised him to keep quiet and say nothing lest his comments get him in trouble.

This post FEC Investigation Demanded After SBF ‘Admitted’ To Donating Dark Money

was published first on https://cointelegraph.com/news/fec-probe-demanded-after-sbf-admitted-to-making-dark-money-donations


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