• FTX’s former employee Nishad Singh is reportedly preparing to reach a plea deal with U.S. prosecutors.
• He previously served as the exchange’s director of engineering and is now said to face charges.
• The CFTC and SEC are also reportedly set to file charges against him in relation to activities such as campaign financing and software development for transferring funds between FTX and Alameda Research.
FTX Employee’s Legal Situation
FTX’s former employee, Nishad Singh, is reportedly approaching a plea deal with U.S. prosecutors according to Bloomberg News on February 17th. Singh served as the exchange’s director of engineering and is now said to face charges from both the U.S Attorney’s Office for the Southern District of New York, as well as from the CFTC and SEC who plan to file additional charges related to activities such as campaign financing and software development for transferring funds between FTX and Alameda Research.
Cooperation Deal Discussed
Bloomberg news reported that Singh had discussed a cooperation deal back in January 10th which was likely leading towards a plea deal at that time, though he was not accused of any wrongdoing yet. According to reports starting Jan 5th, authorities were already investigating Singh for possible illegal activities which could potentially provide assistance in the criminal case against Sam Bankman-Fried, co-founder and former CEO of FTX.
Plea Deals Reached Before
If Singh reaches a plea deal it will be his third fellow FTX associate after Caroline Ellison (former Alameda Research CEO) and Gary Wang (co-founder) who have both pled guilty in December for cooperating against Bankman-Fried who awaits trial still today.
No Confirmation from Agencies
None of the above agencies have publicly confirmed Bloomberg’s statements yet, so this story remains incomplete until further news comes out about this situation or if any confirmation is made by any agency involved when more details come out later on regarding this developing story concerning FTX’s former employee Nishad Singh’s legal situation .
Conclusion
The implications that this case has on not only banks but crypto exchanges should be taken into account when looking at how businesses are run within these industries moving forward because they may become stricter due cases like this one coming up down the line if similar situations arise again soon enough in other places around the world eventually leading towards tighter regulations depending on what happens with cases like these ones involving Nishad Singh very soon enough in 2021 or 2022 accordingly at some point later on down the road possibly sooner rather than later depending on many different factors going forward essentially long term inevitably