SEC bars Ellison, Wang, Singh from leadership for 8-10 years
The United States Securities and Exchange Commission said Friday it obtained final consent judgments imposing officer-and-director bars on former Alameda Research CEO Caroline Ellison and former FTX executives Gary Wang and Nishad Singh. Ellison agreed to a 10-year bar, while Wang and Singh each consented to eight-year bars, stemming from the misuse of investor funds at FTX between 2019 and 2022.
All three are also subject to five-year conduct-based injunctions, according to the SEC.
The SEC complaints alleged that Sam Bankman-Fried, Wang, and Singh, with Ellison’s knowledge and approval, exempted Alameda from risk controls and granted it effectively unlimited borrowing capacity funded by FTX customer assets. The complaints further alleged that Wang and Singh developed code that enabled the transfer of FTX customer funds to Alameda, and that Ellison used misappropriated customer funds to support Alameda’s trading operations.
Former FTX CEO Sam Bankman-Fried was sentenced to 25 years in prison for his role in the exchange’s failure. He is appealing the conviction in the U.S. Court of Appeals for the Second Circuit, which held a hearing on Nov. 4.
Ellison received a two-year sentence under a plea agreement and testified against Bankman-Fried. Wang and Singh also testified at Bankman-Fried’s criminal trial and were sentenced to time served in 2024.
Ellison expected to be released from custody soon
The Federal Bureau of Prisons lists Ellison as transferred to a Residential Reentry Management field office in New York City. She is scheduled for release on Feb. 20, approximately nine months before the end of her two-year term, indicating potential eligibility for good-conduct credits that reduce time in custody.
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