Bahamas Bank Deltec Accused of Giving Bankman-Fried ‘Secret’ Credit to Buy Tether

  • Deltec is alleged to have provided a short-term line of credit
  • Court documents suggest a tighter web than previously known

Sam Bankman-Fried arrives at court in New York on Feb. 16, 2023.

Photographer: Stephanie Keith/Bloomberg
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It was one of the remaining puzzles after Sam Bankman-Fried’s conviction on fraud charges: what was the relationship between the one-time crypto billionaire, a Bahamas bank whose chairman created the cartoon Inspector Gadget, and cryptocurrency Tether?

Text messages, a declaration from Bankman-Fried’s former colleague and ex-girlfriend Caroline Ellison, and other documents published as part of a lawsuit filed against alleged enablers of his scheme suggest a tighter web of connections than previously known.