- Caroline Ellison, former CEO of Alameda Research, faces up to 110 years in prison.
- Under his plea agreement, Ellison pleaded guilty to seven counts, including wire, securities and commodity fraud.
- He has also agreed to pay restitution in an amount to be determined by the courts.
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Caroline Ellison, the former CEO of Alameda Research, faces a maximum sentence of 110 years in prison following reaching a plea deal with the US Department of Justice.
This according to the plea agreement from Ellison with prosecutors for the Southern District of New York, dated December 18.
Ellison faces seven counts that together carry a maximum prison sentence of 110 years. These include conspiracy to commit wire fraud, securities fraud, and commodity fraud.
He also faces one count of conspiracy to commit money laundering.
Ellison agreed to waive any defense to the charges.
Under his deal with prosecutors, he also agrees to make restitution, the amount of which will be determined by the courts.
As part of his plea agreement, Ellison must cooperate fully with prosecutors, the FBI and any other law enforcement agency.
You must also provide documents, records, and evidence to prosecutors and testify before a grand jury or in judicial judgments when requested.
An attorney for Ellison did not immediately respond to Insider’s request for comment.
Ellison was the on-and-off girlfriend of FTX co-founder Sam Bankman-Fried
She was the head of Alameda Research, the trading company that launched Bankman-Fried, and Gary Wang was a co-founder of FTX.
Wang, like Ellison, has pleaded guilty to fraud, according to a Wednesday announcement from the US Attorney for the Southern District of New York.
In November, Archyde.com reported that Bankman-Fried secretly moved $10 billion in client funds from FTX to Alameda Research.
Much of that money has disappeared, Archyde.com sources said, pegging the amount at between $1 billion and $2 billion.
Bankman-Fried told Archyde.com he “did not agree with the characterization” of the $10 billion transfer.
“We did not secretly transfer,” he told Archyde.com in text messages at the time. “We had confusing internal labeling and we misread it.”
On Wednesday night, Bankman-Fried was extradited from the Bahamas and landed back in the United States.
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