As the investigation into FTX continues, former crypto exchange chief engineer Nishad Singh followed former FTX and Alameda Research executives Gary Wang and Caroline Ellison by reportedly meeting with federal prosecutors to strike a deal.
Singh attended a proffer session sometime last week at the office of the United States Attorney for the Southern District of New York for the prosecutor to determine if he has valuable information to offer in the lawsuit against FTX founder Sam Bankman-Fried, according to January 10 Bloomberg. report.
Prosecutors were interested in Singh’s insight into FTX’s political donations as one of the charges Bankman-Fried faces is a violation of campaign finance laws.
Singh made significant political contributions over the years and could help prosecutors better understand FTX’s political contributions.
Their cooperation and information can lead them to enter into a deal if the information is deemed important.
Singh will join Wang and Ellison, respectively the founder of FTX and the former CEO of Alameda, as former FTX-linked executives who have reached agreements with federal prosecutors.
After Wang and Ellison entered pleas, US Attorney Damian Williams issued a warning in December 2022 to those involved in wrongdoing at FTX and Alameda, saying, “get there before it catches up with you.”
It was reported on January 5 that the United States Securities and Exchange Commission (SEC) is investigating Singh for his potential role in defrauding investors and FTX users.
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This comes after news in December 2022 that politicians and news organizations reportedly planned to return $6.6 million in donations from FTX, with three prominent Democratic groups deciding to return more than $1 million to investors who lost funds.
It was revealed in a new filing in November 2022 that Alameda loaned $543 million to Singh, one of three related party loans provided by the trading firm that also included $1 billion to Bankman-Fried and $55 billion to FTX Digital Markets co. -CEO, Ryan Salame.