Dems and Reps join forces to pressure SBF to testify before Congress

The enactment with the United States House Financial Services Committee person separately called connected erstwhile FTX CEO Sam Bankman-Fried to look successful an investigative proceeding scheduled for Dec. 13.

In Dec. 2 posts connected Twitter, House Financial Services Committee seat Maxine Waters, a Democrat, and ranking subordinate Patrick McHenry, a Republican, requested SBF talk astatine a proceeding aimed astatine investigating the events astir the illness of FTX. It’s unclear if the U.S. lawmakers intended the erstwhile FTX CEO to look successful idiosyncratic oregon remotely from the Bahamas.

“[Sam Bankman-Fried], we admit that you've been candid successful your discussions astir what happened astatine FTX,” said Waters. “Your willingness to speech to the nationalist volition assistance the company's customers, investors, and others.”

“As you said, [Sam Bankman-Fried], you person a work to ‘try to bash what’s right’ and to ‘help customers retired here,’” said McHenry. “If this is simply a existent statement, attest earlier the House Financial Services Committee connected 12/13.”

.@SBF_FTX, we admit that you've been candid successful your discussions astir what happened astatine #FTX. Your willingness to speech to the nationalist volition assistance the company's customers, investors, and others. To that end, we would invited your information successful our proceeding connected the 13th.

— Maxine Waters (@RepMaxineWaters) December 2, 2022

The House committee said successful November it expected to perceive from companies and individuals progressive successful the downfall of FTX, including Bankman-Fried, Alameda Research, and Binance. The large crypto speech filed for Chapter 11 bankruptcy connected Nov. 11, with consequent filings revealing the steadfast could beryllium accountable to much than 1 cardinal creditors.

U.S. lawmakers successful the Senate Agriculture Committee held a akin hearing connected Dec. 1, questioning Commodity Futures Trading Commission seat Rostin Behnam connected FTX’s downfall and the interaction connected accepted fiscal markets. Behnam pointed to “gaps successful a national regulatory framework” that could perchance lead to investors losing funds successful different large exchange’s illness without further authorization for the fiscal regulator.

Related: Is Bitcoin the lone crypto that volition past FTX?

Some Crypto Twitter users pointed retired that Bankman-Friend had donated millions of dollars to governmental candidates successful the U.S. 2022 midterm elections. According to information reported by Opensecrets.org, these contributions included $5,000 donations to a governmental enactment committee supporting Iowa Representative Cindy Axne and New Jersey Representative Josh Gottheimer — some members of the House Financial Services Committee.

Rep. Waters, we admit that you're holding a proceeding connected the 13th, and we look guardant to substantive factfinding astir what happened astatine FTX. I americium definite that factfinding volition amusement that @SBF_FTX has not, successful fact, been candid successful his discussions. He committed fraud, afloat stop.

— Jake Chervinsky (@jchervinsky) December 2, 2022

Since FTX’s bankruptcy, Bankman-Fried has stepped up his media appearances, repeatedly apologizing for mistakes starring to the exchange’s collapse. A Nov. 16 study suggested officials were considering extraditing the erstwhile CEO to the U.S. for questioning, but astatine the clip of publication, Bankman-Friend was inactive successful the Bahamas.