O'Rourke's team asserts that he never communicated with FTX's Sam Bankman-Fried, amid reports that the Democratic leader's midterm campaign received financial assistance from Bankman-Fried -- and his team says the money was returned.
Democratic leader Beto O'Rourke's team has remained adamant that he never talked to FTX's Sam Bankman-Fried, following reports that his campaign received a $1 million donation that they claim to have returned prior to the CEO stepping down.
The team working for O'Rourke released a statement saying they returned the donation a week before FTX filed for bankruptcy and Bankman-Fried stepped down as the company's chief executive.
Chris Evans, a spokesperson for O'Rourke's campaign, stated that the reimbursement of the donation check to the campaign had nothing to do with the scandals linked to Bankman-Fried's cryptocurrency exchange, which is currently failing.
Evans explained that the donation of money, which had been received on October 11th, had been returned since it had not been requested.
This spokesperson added that O'Rourke still needed to discuss the donation with Bankman-Fried prior to it being made, which was different from the case with earlier substantial contributions, and that the enormous amount caught the campaign off guard.
Evans stated that O'Rourke had yet to communicate with Bankman-Fried prior to the donation and that the enormous figure caught the campaign off guard.
However, by quietly returning the donation, O'Rourke has avoided the ethical nightmare looming over other candidates throughout the country and in Texas who have accepted money from the tech tycoon and his associates.
Along with others associated with FTX, Bankman-Fried was a generous donor to political campaigns on both the Democratic and Republican sides.
The Texas State Securities Board is still investigating whether FTX improperly marketed unregistered securities to Texans through its bitcoin accounts that pay dividends.
Before the collapse of FTX, Bankman-Fried, who was 30 years old at the time, was considered a cryptocurrency wunderkind and had a beneficial effect on the industry.
Bankman-Fried was eager to help define the sector's regulatory framework and is one of the individuals who worked to legitimize cryptocurrency.
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