Sam Trabucco, former co-CEO of Alameda Research, has agreed to forfeit high-value assets, including real estate, a luxury yacht, and claims totaling $70 million to the FTX estate. According to court documents filed on November 11, Trabucco will forgo two San Francisco apartments valued at $8.7 million, a super yacht worth $2.5 million, and $70 million in disputed customer claims.
The proposed settlement is part of the FTX estate's ongoing efforts to recover funds for creditors after the collapse of Sam Bankman-Fried’s crypto empire. Court filings note that Trabucco received $40 million in “potentially avoidable transfers” during his tenure with Alameda.
As a close associate of Bankman-Fried, Trabucco led Alameda alongside Caroline Ellison, taking charge of the crypto hedge fund before leaving unexpectedly in August 2022, just months before FTX declared bankruptcy.
FTX’s Legal Fallout and Asset Recovery Efforts:
Bankman-Fried, who once led the largest crypto fraud case in the U.S., was sentenced to 25 years in prison. His former associates, including Ellison, Gary Wang, and Nishad Singh, negotiated plea deals with federal prosecutors, while Trabucco notably stayed out of the legal spotlight. He neither signed a plea deal nor testified in court, leaving his future uncertain in the wake of FTX’s collapse.
The FTX estate is preparing to distribute approximately $16 billion to creditors as legal proceedings conclude. Lawyers continue to pursue asset recovery, recently filing lawsuits against Binance founder Changpeng Zhao and Crypto.com.
Conclusion:
The forfeiture of Trabucco’s assets marks another step in the FTX estate’s path to recovery. With high-value assets being reclaimed and legal actions underway, FTX creditors may see increased payouts as the estate works to restore financial stability after the firm’s historic downfall.
