The Commodities Futures Trading Commission obtained a consent order against FTX Trading Ltd. and Alameda Research LLC under which the companies must pay $12.7 billion to resolve claims that they defrauded their cryptocurrency customers, a federal district court said.
The companies must pay $8.7 billion in restitution to those who sustained losses proximately caused by violations of the Commodity Exchange Act, and $4 billion in disgorgement for gains received from misconduct, Judge P. Kevin Castel of the US District Court for the Southern District of New York said in the consent order.
The Aug. 7 order finds that the now-bankrupt ...
Learn more about Bloomberg Law or Log In to keep reading:
Learn About Bloomberg Law
AI-powered legal analytics, workflow tools and premium legal & business news.
Already a subscriber?
Log in to keep reading or access research tools.