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The girlfriend of disgraced FTX founder Samuel Bankman-Fried has reportedly cooperated with federal officials, it has been revealed, shortly after he was arrested in the Bahamas in connection with the collapse of his crypto empire.

Former U.S. Attorney Mark Litt, who was involved in the Bernie Madoff prosecution, joined “Fox & Friends Weekend” Sunday to discuss a report that Alameda Research CEO Caroline Ellison worked with officials in connection with the allegations.

“It wouldn’t surprise me at all,” Leet told Will Kane of the report. “He was the CEO of a company that appears to be intimately involved in the alleged fraud, and he’s in … the government’s crosshairs … and he has to make a choice.”

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“There is a bit of a race with the prosecutor’s office right now because the government needs to cooperate,” he continued. “It’s in his interest to spin his story and tell his story before anyone the government talks to points the finger at him, so he has every incentive to cooperate and reap the benefits of cooperation.”

Bankman-Fried was arrested on Monday and was indicted Tuesday in Manhattan federal court on fraud, money laundering and campaign finance charges in connection with an alleged scheme to embezzle billions of dollars of customer funds deposited at international cryptocurrency exchange FTX and mislead investors and lenders of FTX and Alameda Research. he also founded a cryptocurrency hedge fund. Bankman-Fried’s predecessor, Ellison, served as the latter’s CEO.

(EDITORS NOTE: BEST QUALITY AVAILABLE) FTX founder Sam Bankman-Fried and his mother, Barbara Freed, left on Dec. 13, 2022, in Nassau County Magistrate Court. Bankman-Fried was denied bail by a judge, leaving a trail of shame (Katanga Johnson/Bloomberg via Getty Images/Getty Images)

Bankman-Fried, who was arrested in the Bahamas, is expected to appear in a Bahamas courtroom on Monday to change course and consent to extradition.

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Leet explained his role as a defendant in the extradition process and why he might have fought the process, leading to a delay in his impending return to the United States.

“The defendant has rights,” Leet said. “There is a process that must be followed and the defendant has a difficult choice. He can either choose to fight extradition, or he can waive the process and come to the United States voluntarily.”

“He may decide to fight extradition if he believes that delay is his friend, or if he believes that there is a possibility that the country in which he is located will not extradite him in full or will not extradite him for some of the charges against him,” it continued. .

The Bahamas Arrest of Sam Bankman-Freed

TOPSHOT – FTX founder Sam Bankman-Freed (C) is led away in handcuffs by Royal Bahamas Police Force officers in Nassau, Bahamas on December 13, 2022. (via MARIO DUNCANSON/AFP Getty Images/Getty Images)

But Leet also indicated that it may be in his best interest, in this particular case, to decide against extradition if he wants to have the best chance of defending himself.

“On the other hand, if it’s almost inevitable that he’s going to be extradited, and if delay is not his friend, which I think it is here, he may decide to voluntarily relinquish himself and come to the United States,” Leet said. “It is very difficult to defend yourself against such charges from prison, from prison. It’s doubly difficult to do that if you’re in a foreign country.”

Bankman-Fried was the second largest donor to the Democratic Party during the 2022 midterm elections, giving candidates nearly $40 million.

Officials have been in contact with both the Democratic and Republican campaigns about those donations since the FTX explosion.

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FOX Business’ Daniel Wallace contributed to this report.

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