Michelle Bond, a former cryptocurrency industry lobbyist, faces charges of campaign finance fraud, marking the latest development in the legal aftermath of the FTX crypto exchange collapse. Federal prosecutors in New York have indicted Bond, 45, for allegedly breaching campaign finance laws during her 2022 Congressional bid as a Republican from Long Island.
The indictment, filed in the Southern District of New York, accuses Bond of receiving a “sham $400,000 payment” from FTX, arranged by her boyfriend, Ryan Salame, an executive at the now-defunct exchange. Salame, who had pleaded guilty to a separate campaign finance charge last year, is currently serving a seven-and-a-half-year prison sentence.
The charges against Bond underscore that the legal repercussions from FTX’s downfall are ongoing. FTX, once a leading crypto exchange, made substantial political donations that are now under scrutiny. Its founder, Sam Bankman-Fried, was convicted of fraud in November and sentenced to 25 years in prison.
Bond, who previously led a crypto industry trade group, had strong ties to FTX through her relationship with Salame. During her 2022 campaign for Congress, Salame played a key role in fundraising and strategic planning, including contributing $1 million to a supportive super PAC.
Prosecutors allege that Salame set up a consulting agreement for Bond with a $400,000 signing bonus and an annual payment of $100,000. According to the indictment, Bond did not fulfill any services under this agreement but used the funds for her campaign, falsely reporting them as a personal loan.
Bond lost in the Republican primary in August 2022, and FTX collapsed three months later due to a significant financial shortfall. Bond has pleaded not guilty to the charges. Both she and Salame have declined to comment.
The case against Bond indicates that investigations into FTX’s political influence operations are continuing. Federal prosecutors are also revisiting campaign finance matters related to Bankman-Fried, and inquiries into FTX’s financial activities in Puerto Rico are ongoing.
In a related development, Salame has filed a motion to void his guilty plea, claiming that prosecutors breached an “implied commitment” to cease investigations into Bond in exchange for his plea deal. Prosecutors have denied any such agreement existed.
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