Former FTX executive pleads guilty to fraud

A former FTX executive pleaded guilty Tuesday to conspiracy and wire fraud charges. The plea is part of a deal to cooperate with federal prosecutors building their case against FTX founder Sam Bankman-fried in what authorities have dubbed one of the biggest frauds in history.

The plea by Nishad Singh, formerly the cryptocurrency company’s engineering director, raises to three the number of people who prosecutors say have pleaded guilty in the case.

The charges against Singh, 27, carry potential penalties of up to 75 years in prison if he fails to fully cooperate, including by testifying at any trials.

Singh’s plea “underscores once again that the crimes at FTX were vast in scope and consequence,” U.S. Attorney Damian Williams said in a statement.

Last week, prosecutors filed new fraud charges against Bankman-fried, who has pleaded not guilty in the case.

He is accused of stealing billions of dollars in FTX customer deposits to support the company he founded, a global cryptocurrency exchange affiliated with the cryptocurrency trading hedge fund Alameda Research.