FacebookTwitterLinkedInTelegramCopy LinkEmail
Crime and Investigations

FTX: Caroline Ellison and Gary Wang Plead Guilty to Fraud

FTX: Caroline Ellison and Gary Wang Plead Guilty to Fraud

Charges have been filed against two former executives of FTX and Alameda Research for their roles in the FTX fraud.

According to an announcement made by United States Attorney for the Southern District of New York (SDNY) Damian Williams, former Alameda Research CEO Caroline Ellison and FTX co-founder Gary Wang have pleaded guilty to federal fraud charges.

As many suspected, the two cooperated with the Justice Department in its investigation of former FTX CEO Sam Bankman-Fried.

The prosecutor said:

“As I said last week, this investigation is ongoing and moving very quickly. I also stated that last week’s announcement would not be our last, and let me it make clear again that today’s one is not either.

[…] I am announcing that the SDNY has filed charges against Caroline Ellison […] and Gary Wang […] regarding their roles in the fraud that contributed to FTX’s bankruptcy.”

Both Ms. Ellison and Mr. Wang have pleaded guilty to these charges, and are cooperating with the SDNY.

Williams also confirmed that Bankman-Fried is now in the custody of the Federal Bureau of Investigation (FBI) and is “on his way back to the United States”. There, he will be transported directly to the Southern District of New York to appear before a judge “as soon as possible.”


Williams also used the statement to urge confessions and cooperation from anyone who may have been involved in wrongdoing at FTX or Alameda.

“Now is the time to do so. We are moving fast and our patience is not limitless.”

The U.S. Securities and Exchange Commission (SEC) announced on Dec. 21 that it had filed charges against Ellison and Wang for their roles in a “multi-year scheme to defraud” FTX investors. The agency added that it is also investigating other violations of securities laws and other entities and individuals related to the misconduct.

The Securities and Exchange Commission noted that both Ellison and Wang are cooperating with the ongoing investigations.

Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

Learn more about crypto and blockchain technology.