CFTC resolves FTX cases against Ellison and Wang

A U.S. federal court has resolved the CFTC’s cases against Caroline Ellison and Gary Wang by imposing five-year trading bans and registration bans of up to 10 years. Summary Ellison received a five-year trading ban and a 10-year CFTC registration ban. Wang received a five-year trading ban and an eight-year registration ban. Both sanctions date back to the initial consent orders entered on Dec. 23, 2022. The CFTC is not seeking additional financial penalties, citing their cooperation and an $11.02 billion forfeiture order. The Commodity Futures Trading Commission said on Aug. 19 that the U.S. District Court for the Southern District of New York had entered supplemental consent orders against Ellison, the former chief executive of Alameda Research, and Wang, who co-founded Alameda and FTX. Under the orders, both former executives must continue assisting the regulator. Ellison cannot trade for five years and is barred from registering with the CFTC for 10 years, while Wang received a five-year trading ban and an eight-year registration ban. The restrictions did not begin with the latest ruling. According to the regulator, each period runs from Dec. 23, 2022, when the court entered the...