FTX Lawyer Sun Unaware Customer Funds Loaned to Alameda, Resigned After Learning Billions Missing

FTX general counsel Sun testified he was unaware customer funds were loaned to Alameda. He believed funds were segregated.

Sun documented over 30 personal loans totaling $2B+ from FTX to Bankman-Fried, Wang, and Singh.

In November, Sun learned FTX was short $7B. He asked for justification to give Apollo but couldn't find legal justification.

Sun says Bankman-Fried acknowledged no legal justification for missing funds when he proposed theoretical arguments.

Sun resigned after learning from Singh that Alameda's no liquidation method allowed withdrawal of billions in customer deposits.