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Metropolitan Museum of Art to Refund $550K in Donations from FTX
The popular US museum, known as the Met, is set to refund $550,000 to FTX debtors, according to a filing to the United States Bankruptcy Court in Delaware
The filing states that,
The donations were given in 2022, prior to the FTX collapse in November. The Met received $300,000 in March and $250,000 in May.
Both installments were facilitated by the FTX.US operator, the company called West Realm Shires Services.
The debtors argued that the terms of the proposed stipulation "fall well within the range of reasonableness" and should be approved by the court.
They said that,
In return, the filing said, the two parties would receive mutual releases of any and all claims related to the donations
Finally, the debtors argued that this is the best course of action for them and the Met, writing that,
Millions Given Away
As part of the bankruptcy proceedings, the new leadership of FTX has been trying to recuperate as much of the donated funds as possible since December last year, following the exchange's fall a month prior
But this is no easy task. FTX and its former CEO Sam Bankman-Fried made donations to politicians, celebrities, and reportedly ious charities
In October 2022, the FTX Foundation, set up by Bankman-Fried, reported that it had given away $140 million
After FTX collapsed, the US Justice Department alleged that the donations were a result of criminal money laundering and that payments violated campaign finance rules.
The political donations made at the direction of Bankman-Fried reportedly amounted to hundreds of millions of dollars.
It was also said that the former FTX boss donated some $5.2 million to Joe Biden’s 2020 presidential campaign and well over $40 million to other Democrats ahead of the 2022 midterm election.
By March 2023, the funds returned to the bankrupt exchange made up just 2.2% – or $1 million – of the money Bankman-Fried donated to political candidates from the Democratic Party
Of the $1 million, the Democratic National Committee (DNC) said it would return $850,000 to FTX.
You can read more about the case below.
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Learn more:
FTX Exchange Objects to Prolonged Mediation Talks with Bankrupt Genesis –Here's the Latest
US Government's Push for FTX Inquiry Reaches Court of Appeals – Here's the Latest
Sam Bankman-Fried Leverages Law Firm Advice for FTX Fraud Defense
The U.S. Justice Department Awaits Bahamas Response Regarding New Charges Against Sam Bankman-Fried
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