Ryan Salame, the former co-CEO of FTX Digital Markets, has agreed to transfer his multimillion-dollar Bahamas home as part of a plea agreement in a criminal prosecution.
According to a request filed by FTX Trading Ltd and connected debtors with the United States Bankruptcy Court for the District of Delaware on May 1, Ryan Salame has agreed to give up a $5.9 million mansion in the Bahamas.
Salame pleaded guilty to criminal charges in September 2023, and his plea deal compelled him to pay $5.6 million in compensation to the debtors.
Salame offers that rather than paying cash, he meet the restitution by transferring ownership of his home to FTX Digital Markets Ltd.
“Salame will satisfy the Restitution Amount by transferring a residence he owns in the Bahamas, Unit No. 3A in the Marina Residences at Albany Building 10 Condominium, to FTX DM,” according to the document.
The debtors contended that this is in their best interests since it saves Salame from having to sell the residence soon and at a discount, which could jeopardize their ability to monetize other Bahamian properties.
In 2023, Bahamian realtors stated that high-end sales volumes had fallen by much to 25%. Meanwhile, Australian real estate agency Properstar revealed that apartment prices have decreased by 28% in the last year.
Salame faces charges of conspiracy to make illegal political contributions and deceive the Federal Election Commission, as well as conspiracy to operate an unauthorized money-transmitting business.
The petition also stated that Salame committed to buy the property for $7.2 million in September 2021, with the 10% deposit deposited from an Alameda Research account at Silvergate Bank.
In November of that year, FTX DM sent $8.1 million from its Fidelity Bank account in the Bahamas to Salame’s real estate attorney to pay the remaining purchase price.
Salame and Alameda signed a promissory note in March 2022, agreeing that he would pay Alameda $8.1 million. However, FTX and Alameda collapsed in early November 2022, with bankruptcy filings following shortly thereafter.
Salame’s sentencing date is presently set for May 28, 2024.