The US SEC has reached a settlement agreement with three former executives of FTX, and Caroline Ellison is prohibited from serving as a company executive for 10 years.

2025-12-20 01:00:57

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Deep Tide TechFlow News, December 20th, according to CoinDesk, the U.S. Securities and Exchange Commission (SEC) announced that it has reached a settlement agreement with three former executives involved in the FTX collapse case.

According to the consent judgment, former Alameda Research CEO Caroline Ellison will be barred from serving as an officer or director of any company for 10 years, while former FTX Trading CTO Gary Wang and former FTX Co-Head of Engineering Nishad Singh will face similar 8-year bans. The three will also be subject to a 5-year “behavior-based injunction.”

The SEC alleges that Sam Bankman-Fried, Wang, and Singh, with Ellison’s informed consent, waived Alameda’s risk mitigation measures and provided an almost unlimited “credit line” supported by FTX customer funds. The software code created by Wang and Singh allowed customer funds to be transferred to Alameda, while Ellison used misappropriated customer funds for trading activities.

It is reported that the settlement agreement still requires court approval.

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