The charity reported this as a serious incident because FTX’s philanthropic foundation was a significant funder of the charity.
The trustees fulfilled their duties and responsibilities in submitting an RSI and there is no indication of wrongdoing by the trustees at this time. However, there are indications of potential risks to the charity’s assets and the inquiry has been opened to establish facts and help ensure the trustees protect the charity’s assets and are running the charity in line with their duties and responsibilities.
The inquiry will examine the extent of any risk to the charity’s assets and the extent to which the trustees are complying with their legal duties with regard to the protection of the charity’s property and the governance and administration of the charity by the trustees including relationships between the charity’s trustees and its funders and the identification and management of conflicts of interest and/or loyalty.
The trustees have been cooperating fully with the commission.
The commission may extend the scope of the inquiry if additional regulatory issues emerge.
FTX, which a year ago was valued at $32 billion, filed for bankruptcy protection on 11 November. It has been estimated that $8 billion of customers’ funds was missing.
A complete list of the creditors owed money by the bankrupt cryptocurrency exchange FTX was last week released, revealing a myriad of companies and government entities.
On 25 January, lawyers for FTX filed its creditor matrix to the United States Bankruptcy Court for the District of Delaware. The 115-page document detailed names in alphabetical order.
The list revealed the global web of companies from airlines, hotels, charities, banks, venture capital firms, media outlets, and crypto companies along with US and international government agencies all potentially owed money by the fallen exchange.
It is the commission’s normal policy, after it has concluded an inquiry, to publish a report detailing the issues examined, the action undertaken, and the inquiry’s outcomes.
