Following the rapid collapse of crypto giant FTX and its founder Sam Bankman Fried’s questionable handling of millions of dollars of customer funds, Attorney General and Minister of Legal Affairs, Ryan Pinder sought to defend the Bahamas which is caught up in the middle of the fiasco.
“The Bahamas is a place of laws. The rule of law, and the exercise of due process, characterize the integrity of our jurisdiction.”
The Bahamas has hosted FTX’s headquarters since 2021 and when allegations surfaced that Bankman-Freid was engaged in unscrupulous financial dealings, many questioned how the country would execute its laws in regard to the exchange and its founder, who stepped down from the troubled company.
“The Securities Commission, Financial Intelligence Unit, and the Financial Crimes Unit of the Royal Bahamas Police Force will continue to investigate the facts and circumstances regarding FTX’s insolvency crisis, and any potential violations of Bahamian law.
“They will hold accountable any responsible companies and individuals, and act in cooperation with other regulatory agencies and law enforcement bodies, both here in the Bahamas, and in other countries affected,” Pinder said on Sunday night in a televised national address.
Bankman-Fried has since retweeted Pinder’s 23-minute remarks, which mostly recapped the fiasco.
Pinder’s speech was prerecorded which meant journalists could not ask questions.
As Pinder concluded, he said, “while new facts emerge every day, there is still much to discover.”
Pinder suggested that the Bahamas should not be entirely blamed for the fiasco as it is a complex matter.
“Any attempt to lay the entirety of this debacle at the feet of the Bahamas, because FTX is headquartered here, would be a gross oversimplification of reality,” he said.
“And it is deeply misguided to conclude that reluctance to communicate the details of an active investigation means that nothing is happening.”
It remains to be seen what actions if any, the Bahamas will take.