Bahamas Attorney General defends local government's handling of FTX case

The Bahamas attorney general has defended the country's actions during the historic collapse of the FTX exchange.

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Bahamas Attorney General defends local government's handling of FTX case

Specifically, Bahamas attorney general Ryan Pinder criticized new FTX CEO John Ray III over the weekend, accusing him of misrepresenting the actions of the country's regulators in the school. Sam Bankman-Fried's $32 billion crypto exchange bankruptcy.


In a statement posted on the morning of November 28, Ryan Pinder disputed the recent statements of John J. Ray III and attorneys in the US Bankruptcy Court, amid questions about whether the agencies whether or not the Bahamas management had jurisdiction to control the assets of the FTX subsidiary at the time of bankruptcy in early November 2022. Mr. Ryan Pinder asserted that the Bahamas government has the right to do so under local law to protect customers and creditors.

In fact, the "fight" over whether FTX will be approved for bankruptcy in Delaware or the Bahamas is in the midst of an exploratory phase of tension between both administrations. Not only that, the question of whether FTX is really controlling customer assets is still an unsolved problem.

Returning to the main topic, Mr. Pinder reiterated that Bahamas regulators and authorities continue to actively investigate FTX. However, the Bahamas Attorney General did not make any comment about former FTX CEO Bankman-Fried, who has resigned and will appear in public at the DealBook conference hosted by the New York Times on 30/30. 11 come here.

The Attorney General also praised the Securities and Exchange Commission's swift action to seize FTX assets, stating that it is testament to the fact that crypto legislation in the Bahamas is very tight-lipped and prepared. to deal with cases like FTX. Even so, the Bahamas government is embroiled in controversy as one of the parties involved in the "snatching" of assets on the exchange after the platform declared bankruptcy.

Finally, Mr. Pinder said the Bahamas will always support its call for the crypto industry and the country's regulations that allow it to act quickly when FTX collapses, while protecting the Bahamas as a is the jurisdiction for digital assets.

“I have full confidence that as the matter progresses and FTX operations are restructured or terminated, the Bahamas will emerge, even more appreciated than before.”

Mr Pinder also urged other countries to "take a careful approach like the Bahamas and refrain from making statements to avoid influencing the investigation".

The Bahamas official also denied the island nation was responsible for the FTX crash:

“Any action that puts the blame on the Bahamas for the sole reason that FTX is based here is an oversimplification of what happened.”

FoxCryptoNews summary

Nov 28, 2022

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