The US Department of Justice (DOJ) listed two private jets among the assets that could be seized in recovering money linked to the collapse of Bankman-Fried's cryptocurrency exchange, FTX. Bankman-Fried is currently on trial in New York for fraud and conspiracy.

The court filing, submitted yesterday (Wednesday), provided information about the jets. However, even though Sam Bankman-Fried supposedly owned them, these expensive jets were never used by him. According to a report from Coindesk, there are concerns about whether the aircraft was bought using customers' funds.

The DOJ maintains that both aircraft are subject to forfeiture as assets acquired with fraudulently obtained proceeds. On the contrary, FTX has claimed ownership, citing that the loans used for the acquisition of the aircraft were undocumented.

FTX’s Ownership Dispute over Luxury Jets

With the unresolved ownership dispute, questions have emerged concerning who will bear the financial burden of ongoing repairs and inspections for these high-end aircraft. Interestingly, no one associated with FTX ever used the jets, as they were still undergoing upgrades when the company filed for bankruptcy Bankruptcy Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Bankruptcy or insolvency constitutes a legal term and refers to being unable to repay debts. A business and a person can declare bankruptcy. When a person or company claims bankruptcy, it is described as a voluntary bankruptcy, and when your debtors force you into bankruptcy, it is referred to as involuntary. A voluntary bankruptcy occurs when the debtor or borrower, the party that owes the money files with the courts. Involuntary bankruptcy happens when your credits file a petition with the co Read this Term.

Adding a layer of intrigue to the story is the revelation that the Embraer Legacy and Bombardier Global were originally acquired by Island Air Capital (IAC) for a substantial sum of money. IAC is said to have purchased the Embraer Legacy for $12.5 million and the Bombardier Global for $15.9 million, with financing provided by FTX.

Private Jet Allegedly Acquired by Salame

Last month, a former Executive at FTX, Ryan Salame, pleaded guilty to his alleged involvement in the collapse of the crypto exchange. Salame is accused of potential violations of political donation regulations and loans from Alameda Research, the hedge fund linked to FTX. Besides that, authorities traced a private jet acquired by Salame during his time at FTX, Finance Magnates reported, quoting sources who shared the information with Bloomberg.

Three other close associates of Bankman-Fried, including Caroline Ellison, the CEO of Alameda, Gary Wang, the Co-Founder of FTX, and Nishad Singh, the Engineering Chief, have already pleaded guilty and are cooperating with authorities. Prosecutors contend that Bankman-Fried diverted FTX's customer funds for personal use, high-risk investments, and political contributions.