According to the latest reports, the controversial crypto tycoon Sam Bankman-Fried almost single-handedly sponsored the political arm of a famous Washington-based ethics organization back in 2021. The contribution from SBF amounted to more than 95% of the organization’s earnings for that year, and it also covered 94% of the organization’s expenses.
Buying Political Affluence?
Bankman-Fried has been said to donate around $760,000 to the Campaign Legal Center’s (CLC) action fund in 2021, according to a spokesperson for the organization. This commitment of $760,000 was one of two significant pledges that SBF made to CLC Action, the other being a gift of $300,000 in the year 2022.
As per information gathered from the report, the extravagant spending of Bankman-Fried helped sustain CLC Action, which describes itself as a “social welfare organization”, as well as the tax-exempted philanthropic arm of the ethics watchdog group.
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When asked about returning SBF’s contributions after the FTX’s bankruptcy proceedings, Brendan Quinn, a spokesman for the Washington group, stated that:
$2.5 million has been put into a separate account until [further] instructions are received from bankruptcy courts. We cannot change the past, but we can change the future.
SBF’s Numerous Donations
Since Bankman-Fried was indicted by the Securities and Exchange Commission (SEC) for defrauding investors in his now-defunct FTX crypto exchange, there has been an upsurge in the scrutiny of his donations and contributions.
His contributions went towards a wide variety of causes in the United States, including political campaigns, financing media organizations, and other charitable causes. Additionally, the disgraced crypto founder is currently being investigated for multiple infractions of laws governing the campaign finance guidelines.
On December 29, news broke that the 30-year-old SBF has agreed to enter a plea to the criminal allegations at a Manhattan federal court on January 3, 2023, before the U.S. District Judge Lewis Kaplan.
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