Prior to the epic collapse of his crypto exchange company, FTX founder Sam Bankman-Fried made a name for himself as a Democrat megadonor, second only to leftist billionaire George Soros in the last election cycle. Democrat lawmakers are now facing pressure to return millions of dollars in political donations, particularly as FTX faces scrutiny for the possible misuse of funds and defrauding customers.
According to the nonpartisan Center for Responsive Politics, the supermajority of Bankman-Fried's personal political donations went to Democrats and leftist groups.
TheBlaze previously reported that Bankman-Fried — now "under supervision" in the Bahamas for potential fraud charges — donated $10 million to then-candidate Joe Biden in 2020 and spent at least $39,826,856 this year in an effort to help Democrats win their House races.
FTX funneled $27 million through the leftist PAC Protect Our Future, accounting for nearly 95% of the funds raised by the PAC.
According to the Wall Street Journal, Sen. Chuck Schumer (D-N. Y.) benefited from the Senate Majority PAC and Rep. Nancy Pelosi (D-Calif.) from the House Majority PAC, to both of which Bankman-Fried and FTX executive Nishad Singh gifted millions of dollars.
Sens. Kirsten Gillibrand (D-N. Y.) and Cory Booker (D-N.J.) were recipients of maximum donations. Failed Democrat candidate Beto O'Rourke also secured $1 million in from the FTX founder in 2022. The lengthy list of Democrat recipients goes on and has been posted by Open Secrets.
Bloomberg reported that the House Financial Services and Senate Banking committees plan to hold December hearings to get to the bottom of FTX's downfall and its potential malfeasance.
Rep. Maxine Waters (D-Calif.), who announced her hearing with Republican Rep. Patrick McHenry (N. C.), told CNBC, "We will be a part of what is going on with these hearings and investigations, and we will do everything that we can to expose any violations that were obviously made."
"The 'effective altruism' that Democrat megadonor Sam Bankman-Fried peddled is perfectly in line with the radical left's efforts to redefine a corporate purpose," said Rep. Andy Barr (R-Ky.). "The House Financial Services Committee will work to expose any impropriety that led to this historic collapse."
Additionally, the Securities and Exchange Commission and the Commodity Futures Trading Commission are investigating the circumstances of FTX's bankruptcy and looking into whether FTX violated securities laws when it allegedly moved customer funds to Bankman-Fried's trading firm Alameda Research, reported ABC News.
It is presently unclear whether the Democrat megadonor lined Democrats' pockets with the cash of customers, who are now collectively out billions of dollars.... (Read more)
Submitted 11 days ago