FTX founder Sam Bankman-Fried (SBF) was arrested in the Bahamas after US authorities filed criminal charges against the former cryptocurrency billionaire, Bahamas Attorney General Ryan Pinder announced late Monday.
A statement released by Pinder's office detailed the arrest was made by the Royal Bahamas Police Force after authorities received a "receipt of formal notification" of criminal charges, and that it was "likely" the US was to request Bankman-Fried's extradition.
"As a result of the notification received and the material provided therewith, it was deemed appropriate for the Attorney General to seekSBF's arrest and hold him in custody pursuant to our nation's Extradition Act," reads the release.
"At such time as a formal request for extradition is made, the Bahamas intends to process it promptly, pursuant to Bahamian law and its treaty obligations with the United States."
Included along with the statement was a quote from Bahamian Prime Minister Philip Davis, who stated that the island nation would be conducting its own "regulatory and criminal investigation into the collapse of FTX."
An indictment in the matter is expected to be unsealed early Tuesday, US Attorney Damian Williams said Monday in a Twitter post. Details of the possible charges have not been specified; however, an unidentified source told ABC News the FTX founder is facing a "multi-count fraud indictment."
Earlier Monday, FTX attorneys accused the Bahamian government of working with Bankman-Fried to relocate FTX assets into crypto wallets controlled by its government officials.
13 November 2022, 13:06 GMT
News of the arrest comes as Bankman-Fried was expected to testify before the US House Financial Services Committee on Tuesday.
Founded in 2019, FTX experienced its height in 2021, when it had more than a million users and ranked as the third-largest cryptocurrency exchange by volume.
The company ultimately saw the beginning of its downfall in November 2022, shortly after it was revealed FTX funds were allegedly used to cover financial losses experienced by Alameda Research, a crypto trading firm co-founded by Bankman-Fried in 2017.