FTX Seeks to Recover $71M from Its Philanthropic and Life Science Arms

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FTX Seeks to Recover $71M from Its Philanthropic and Life Science Arms
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.FTX_Official and Alameda want to recover $71 million from the philanthropic arm of the defunct crypto exchange. By LizKNapolitano.

The FTX Foundation, in tandem with Latona, took roughly $71.5 million from FTX and Alameda Research"to make investments in and donations to life sciences companies for Bankman-Fried’s personal aggrandizement," lawyers argued.

They made the transfers to life science companies like Lumen Bioscience Inc. and Platform Life Sciences Inc. under the guise of effective altruism, a philosophy espousing the transfer of wealth from affluent individuals to those in financial need, the filing shows. But, helping the less fortunate wasn't the charitable arms true purpose, the firms' lawyers said.

"While purporting to make these investments for altruistic purposes , Bankman-Fried in fact pursued these transactions because he believed that doing so would generate goodwill and amass political capital and influence for himself," the lawyers said in the filing.

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