WATCH: Gottheimer questions FTX CEO during House Financial Services Committee hearing
SEC's Failure to Rule-make and Spotty Enforcement Approach Has Failed to Protect Consumers
WASHINGTON, D.C. — U.S. Congressman Josh Gottheimer (NJ-5) Tuesday questioned FTX Group CEO John Ray III during a House Financial Services Committee Hearing on the collapse of FTX.
Gottheimer’s questions for Ray included whether he believed that U.S. financial regulators would have been satisfied with the accounting and risk mitigation practices that were in place at FTX; what U.S. regulators — including the SEC — could have done to protect Americans using FTX; and if Ray believes former FTX CEO Sam Bankman-Fried when he says that all FTX US users will receive “a dollar on the dollar” return of funds at the end of these bankruptcy proceedings.
In response to Gottheimer asking if U.S. users would get their money back, as Bankman-Fried previously stated, Ray said that is “very speculative at this point.”
