FTX Restructuring Advisors Find ~$740M in Crypto in FTX Offline Cold Wallets, Company Funds Used to Buy Employee Properties

According to Bloomberg, John J. Ray III, the new CEO of FTX, said that FTX's internal controls and record keeping were improper, and FTX's restructuring consultants were working hard to find the company's cash and cryptocurrencies, and had found about $740 million in offline cold wallets cryptocurrency. John J. Ray III said the company's audited financial statements should not be trusted and that consultants are working to rebuild the balance sheet for the FTX entity from the bottom up. Advisers do not yet know how much cash FTX Group had when it filed for bankruptcy, but so far have found roughly $560 million attributable to various FTX entities. In addition, John J. Ray III stated that it is difficult to find records related to FTX decision-making, FTX Group company funds were used to purchase homes and other personal items for employees, and some real estate was recorded in the personal names of employees and FTX consultants.