Silvergate’s Ex-CFO Must Face SEC Fraud Claims Over FTX Collapse

The former chief financial officer of shuttered Silvergate Bank lost his bid to toss an SEC suit alleging he misled investors about the bank’s financial health following the collapse of FTX.

The Securities and Exchange Commission adequately pleaded fraud claims related to Antonio Martino’s alleged concealment of the precarious financial position Silvergate was in after FTX’s 2022 bankruptcy, Judge Andrew L. Carter Jr. in the US District Court for the Southern District of New York said in a Tuesday order.

The alleged misrepresentations included Martino’s statements and disclosures that downplayed the impact of forced securities sales Silvergate made, as well ...