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Crypto exchange FTX was on the radar of federal prosecutors in Manhattan months before its collapse, Bloomberg News reported on Monday citing people familiar with Authorities have used the law, requiring financial institutions take steps to prevent money laundering and terrorism financing, to go after crypto platforms that allegedly The charges, filed about a month after FTX went bankrupt, mark a swift move for retribution by US authorities. But the watchdogs have also been criticised for failing to spot US authorities, including the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC) and prosecutors, are reportedly Singh could be indicted as early as this month if federal prosecutors in Manhattan determine he participated in the alleged multiyear conspiracy to swindle investors and clients at the now Citing unnamed sources, a recent Bloomberg report revealed that former close FTX associate Nishad Singh is currently under the radar. If prosecutors discover that According to a Jan. 5 report from Bloomberg, U.S. officials are looking at individuals in former FTX CEO Sam Bankman-Fried’s inner circle as part of their criminal probe of the exchange’s NEW YORK – The United States authorities are asking crypto investors and trading firms that worked closely with FTX to hand over information on the company and its U.S. prosecutors in New York are probing FTX's collapse, a source with knowledge of the investigations said, after the crypto exchange filed for bankruptcy protection

FTX Fallout: US Authorities Probe Investment Firms Linked to Ex-Engineer

The collapse of crypto exchange FTX continues to reverberate, with US authorities expanding their investigation beyond Sam Bankman-Fried and his inner circle. A recent Bloomberg report revealed that former close FTX associate Nishad Singh is currently under the radar. According to a Jan. 5 report from Bloomberg, U.S. officials are looking at individuals in former FTX CEO Sam Bankman-Fried’s inner circle as part of their criminal probe of the exchange.

NEW YORK – The United States authorities are asking crypto investors and trading firms that worked closely with FTX to hand over information on the company and its dealings. This intensifying scrutiny extends to investment firms potentially linked to former FTX engineers, raising questions about their involvement in the now bankrupt exchange's operations.

U.S. prosecutors in New York are probing FTX's collapse, a source with knowledge of the investigations said, after the crypto exchange filed for bankruptcy protection. Crypto exchange FTX was on the radar of federal prosecutors in Manhattan months before its collapse, Bloomberg News reported on Monday citing people familiar with the matter. The watchdogs have also been criticised for failing to spot warning signs earlier, leading to increased pressure to deliver justice.

US authorities, including the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC) and prosecutors, are reportedly digging deep into the relationships between FTX engineers and various investment firms. If prosecutors discover that former FTX engineers participated in illegal activities, those firms could face significant repercussions.

Authorities have used the law, requiring financial institutions take steps to prevent money laundering and terrorism financing, to go after crypto platforms that allegedly failed to comply. The charges, filed about a month after FTX went bankrupt, mark a swift move for retribution by US authorities. Singh could be indicted as early as this month if federal prosecutors in Manhattan determine he participated in the alleged multiyear conspiracy to swindle investors and clients at the now defunct exchange.

The probe is focused on uncovering any potential misuse of funds, insider trading, or other illicit activities facilitated through these investment firms. This development signals a widening net, suggesting that individuals and entities beyond the immediate FTX leadership could face legal consequences for their roles in the exchange's downfall. Stay tuned for further updates as this investigation unfolds.

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