Maxine Waters Threatens Subpoena for Sam Bankman-Fried Amidst FTX Hearings

Maxine Waters Stirs the Pot

In a recent Twitter tirade, Maxine Waters, the Chair of the U.S. House Financial Services Committee, has made it crystal clear that a subpoena for Sam Bankman-Fried, the controversial former CEO of FTX, is firmly on the table. Waters rebuffed claims that she wasn’t planning to compel Bankman-Fried to testify at the upcoming hearings. “Lies are circulating,” she bellowed, asserting the urgency of the matter.

The Timeline of Events

Waters originally invited Bankman-Fried to the committee’s Dec. 13 hearing via her Twitter on Dec. 3, but it seems he dodged the invite faster than a cat avoiding a bath. Just a day later, he proclaimed that he wouldn’t attend until he had finished reviewing “what happened.” You’d think after countless media appearances discussing the FTX debacle, he’d be ready to spill the beans.

The Consequences of Non-Compliance

If Bankman-Fried chooses to thumb his nose at the subpoena, consequences could be dire. Not only could he face contempt charges from Congress, which could land him a year in prison and a hefty fine of $100,000, but his reputation will likely suffer even more than his crypto empire.

What’s at Stake?

As the Dec. 13 hearing titled “Investigating the Collapse of FTX” approaches, the stakes keep rising. With the fallout from the collapse impacting over a million creditors who lost billions, everyone wants to know—how did it all go so wrong? Bankman-Fried’s potential testimony may hold critical clues to this catastrophic financial saga.

Senate Hearing Pressure

As if that weren’t enough, Bankman-Fried is also summoned to appear before the Senate Committee on Banking on Dec. 14. The scrutiny is relentless, with Senate Banking Committee Chair Sherrod Brown issuing a stern letter, warning that he must answer for the failure of FTX and Alameda Research, with client funds mismanagement being front and center.

The Final Countdown

As we inch closer to these monumental hearings, one can’t help but wonder if Bankman-Fried will take the witness stand or if he’ll continue to tug us along in this soap opera of fiscal folly. Stay tuned, folks—this circus is just getting started.