Bloomberg: Bahamas Bank Deltec Accused of Providing “Secret” Credit to SBF to Purchase USDT

Bahamian bank Deltec Bank & Trust Ltd is accused of providing “secret” credit to SBF to purchase Tether (USDT), according to a lawsuit filed in Florida federal court on Friday. The document is understood to be part of a case brought by lawyers for victims of the SBF fraud, who are seeking to recover losses from participants including Deltec. Documents show that hedge fund Alameda Research partially used Deltec’s secret short-term credit line worth billions of dollars to accumulate USDT, and Tether was not charged in the case. It also claims that Deltec helped SBF misappropriate client funds by transferring funds between accounts at FTX and Alameda. The lawsuit alleges that Deltec had ample reason to be suspicious of the transfers. Deltec attorney Desiree Moore of Venable LLP in Chicago said Deltec and its chairman, Jean Chalopin, had no knowledge of FTX's wrongdoing before it was made public: "The new allegations rely heavily on unsubstantiated statements by individuals, which we understand to be It is known that these individuals are settling with the plaintiffs in exchange for providing information.” Lawyers said in the filing that Alameda Research CEO Caroline Ellison cooperated with them in settlement negotiations and turned over 7,000 pages of Telegram chats. (Bloomberg)