Nishad Singh, a former top executive at the cryptocurrency trading platform FTX, has pleaded guilty to the charges of alleged billion-dollar fraud at the firm. The 27-year-old was the former co-lead engineer of FTX Trading Ltd and has pleaded guilty to six conspiracy charges, including conspiracy to commit wire fraud, conspiracy to commit money laundering and conspiracy to violate federal campaign finances laws.

Nishad is known to have close ties with FTX founder Sam Bankman-Fried and is third executive to plead guilty and cooperate with prosecutors. Gary Wang, co-founder of FTX, and Caroline Ellison, the former head of FTX's sister hedge fund Alameda Research pleaded guilty last year.&nbsp;

Bankman-Fried was charged in December with devising a scheme to defraud equity investors in FTX. The Securities and Exchange Commission charged Singh on Tuesday.

Besides, the US Attorney's Office for the Southern District of New York and the Commodity Futures Trading Commission (CFTC) also announced charges against Nishad. A guilty plea to commodities fraud and other charges had been entered by him in the separate, parallel action against him in the Southern District of New York.

Also Read |&nbsp;<a href="https://www.wionews.com/world/new-criminal-charges-slapped-on-ftx-founder-bankman-fried-565460">New criminal charges slapped on FTX founder Bankman-Fried</a>

SEC's complaint alleges that Singh created a software code that let FTX customer funds to be diverted to Alameda Research. The latter is a crypto hedge fund owned by Bankman-Fried and Wang. This happened even as Bankman-Fried gave false assurances to investors that FTX was a safe crypto asset trading platform with sophisticated risk mitigation measures to protect customer assets and that Alameda was just another customer with no special privileges.

As per the complaint, Singh was an active participant in the scheme to deceive FTX's investors. Even as FTX closed in on a collapse, Singh withdrew approximately $6 million from FTX for personal use and expenditures. He bought a multi-million dollar house and made donations to charitable causes.

(With inputs from agencies)

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Nishad Singh, a former top executive at the cryptocurrency trading platform FTX, has pleaded guilty to the charges of alleged billion-dollar fraud at the firm. The 27-year-old was the former co-lead engineer of FTX Trading Ltd and has pleaded guilty to six conspiracy charges, including conspiracy to commit wire fraud, conspiracy to commit money laundering and conspiracy to violate federal campaign finances laws.

Nishad Singh, a former top executive at the cryptocurrency trading platform FTX, has pleaded guilty to the charges of alleged billion-dollar fraud at the firm. The 27-year-old was the former co-lead engineer of FTX Trading Ltd and has pleaded guilty to six conspiracy charges, including conspiracy to commit wire fraud, conspiracy to commit money laundering and conspiracy to violate federal campaign finances laws. Nishad is known to have close ties with FTX founder Sam Bankman-Fried and is third executive to plead guilty and cooperate with prosecutors. Gary Wang, co-founder of FTX, and Caroline Ellison, the former head of FTX's sister hedge fund Alameda Research pleaded guilty last year. Bankman-Fried was charged in December with devising a scheme to defraud equity investors in FTX. The Securities and Exchange Commission charged Singh on Tuesday. Besides, the US Attorney's Office for the Southern District of New York and the Commodity Futures Trading Commission (CFTC) also announced charges against Nishad. A guilty plea to commodities fraud and other charges had been entered by him in the separate, parallel action against him in the Southern District of New York. Also Read | New criminal charges slapped on FTX founder Bankman-Fried SEC's complaint alleges that Singh created a software code that let FTX customer funds to be diverted to Alameda Research. The latter is a crypto hedge fund owned by Bankman-Fried and Wang. This happened even as Bankman-Fried gave false assurances to investors that FTX was a safe crypto asset trading platform with sophisticated risk mitigation measures to protect customer assets and that Alameda was just another customer with no special privileges. As per the complaint, Singh was an active participant in the scheme to deceive FTX's investors. Even as FTX closed in on a collapse, Singh withdrew approximately $6 million from FTX for personal use and expenditures. He bought a multi-million dollar house and made donations to charitable causes. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Nishad Singh, Indian-origin engineer at FTX, pleads guilty to fraud charges

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Nishad Singh, Indian-origin engineer at FTX, pleads guilty to fraud charges