Former FTX executive Ryan Salame admitted on Thursday to federal criminal charges related to FTX and was released on a $1 million bond. He will have over $1.5 billion in assets confiscated. Salame acknowledged conspiring to make illegal political donations and deceive the Federal Election Commission, as well as conspiring to operate an unlicensed money transmission business.
Salame, during his plea, told Judge Lewis Kaplan that he made political donations in his personal capacity, funded by transfers from a subsidiary of Alameda. These transfers were 'characterized as loans,' but 'everyone understood that this money would not be repaid.' According to Salame, these donations were 'to support initiatives proposed by others but backed by SBF (Sam Bankman-Fried).'
As part of the plea agreement reached with the government, Salame has been required to surrender over $1.5 billion in assets. He has agreed to pay a $6 million fine before sentencing in March next year. To make this payment, Salame has agreed to provide the government with a '2021 Porsche automobile' and multiple properties, including two residences in Massachusetts, as well as ownership of the East Rood Farm company.
Furthermore, Salame has been ordered to pay over $5.5 million in restitution to FTX creditors.