The new boss lashes out at Sam Bankman-Fried’s methods

John Ray III specifically denounced the former chief’s “incoherent and misleading” statements since his resignation.

The new head of cryptocurrency exchange FTX, which filed for US bankruptcy last week, has denounced the disastrous leadership of the company by his predecessor and platform co-founder Sam Bankman-Fried. “Never in my career have I seen such a complete failure of a company’s controls and a glaring lack of reliable financial informationJohn Ray III said in a court document filed Thursday in a Delaware bankruptcy court.

From the compromised integrity of systems and flawed regulatory oversight abroad, to the concentration of control in the hands of a very small group of inexperienced, clumsy and potentially corrupt individuals, this situation is unprecedented.added John Ray III, who oversaw the bankruptcy of former US energy giant Enron in the early 2000s.

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Considered one of the world’s leading cryptocurrency exchanges, FTX abruptly announced its bankruptcy filing last Friday along with the resignation of Sam Bankman-Fried as the company faced a severe solvency crisis. John Ray III expressed “significant concernsas to the reliability of FTX’s financial statements and believed that it “at least $372 million in unauthorized transfers“. The managers of the companyhave located and secured only a fraction of the FTX Group digital assets they hope to recover‘ he specified. The new boss of FTX also condemned the statements “contradictory and misleadingby Sam Bankman-Fried since his resignation, stating that the latter no longer speaks on behalf of the company.

In a private Twitter chat with a Vox reporter released Thursday, Sam Bankman-Fried said he regrets his decision to place FTX under Chapter 11 bankruptcy protection. “Everything would be about 70% fixed if I hadn’t done that‘ he guessed.

Sam Bankman-Fried also attacked American regulators, judging that the latter “not protecting consumers at all” and that you “cannot distinguish what is good and what is bad“.”Some of what I said was thoughtless or rude. I vented and didn’t want this to be publishedhe tweeted.

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