• Former FTX co-CEO Ryan Salame’s home has reportedly been searched by the FBI.
• Salame was a substantial beneficiary of suspicious loans and payments given to a number of top executives of FTX by way of their trading house Alameda Research.
• Salame was the first executive from FTX or Alameda Research to begin assisting authorities with their investigation.
Former FTX Executive’s Home Searched by FBI
The home of former FTX co-CEO Ryan Salame has reportedly been searched by the Federal Bureau of Investigation as further scrutiny falls on the executive for his close advisory role to Sam Bankman-Fried. The New York Times reported on April 27 that the FBI searched Salame’s $4 million home in Potomac, Maryland that morning.
Unclear What Authorities Were Looking For
It remains unclear what the authorities were looking for when searching Salame’s home. He was the co-CEO of FTX Digital Markets, which was FTX’s Bahamas-based subsidiary. As reported by Cointelegraph, Salame was a substantial beneficiary of suspicious loans and payments given to a number of the top executives of FTX by way of the now-bankrupt firms’ trading house Alameda Research.
Salame Received $87 Million in Compensation
Salame was the fourth-largest recipient from these payments, having received a total sum of $87 million in compensation. Bankman-Fried received $2.2 billion while former engineering director Nishad Singh and co-founder Zixiao “Gary” Wang received $587 million and $246 million respectively.
FTX’s New Management Investigating Recipients
FTX’s new management said it would be further investigating its rights to pursue potential action against the recipients, along with their subsequent transferees, and that efforts are “expected to result in the further identification of assets, liabilities and transfers.” It added that it was assessing different ways it could seek to claw back funds from former executives.
Salame Was First Executive To Begin Assisting Authorities
According to Bahamian court filings from Dec. 14, 2022, Salame was first executive from FTX or Alameda Research to begin assisting authorities with their investigation. He blew whistle to Securities Commission of Bahamas on Nov 9th regarding customer funds being sent to sister trading firm without permission or consent from clients