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FTX Insider Caroline Ellison Sentenced to Two Years in Prison

The former chief executive of Alameda Research, the trading company that acted as the vehicle for the multi-billion-dollar fraud at crypto exchange FTX, has been given a two-year prison sentence after cooperating with investigators.

A US federal judge in the Southern District of New York has sentenced Caroline Ellison, a member of the ring of executives who presided over the fraud that led to the collapse of crypto exchange FTX, to two years in prison. The money was missing, a jury found, because FTX insiders had conducted an elaborate fraud whereby billions of dollars in customer funds were swept into a sibling company, Alameda Research, headed by Ellison. In a court filing in early September, Ellison’s legal counsel had petitioned the judge to refrain from sending her to prison, pointing to the extent of her cooperation with the investigation into FTX, the responsibility she had taken for her wrongdoing, and her obvious contrition.

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