Ryan Salame Surrenders Bahamas Property in Plea Deal

Ryan Salame, the former co-chief executive of FTX Digital Markets, has agreed to give up his multimillion-dollar Bahamas property in connection with a deal that authorities had previously characterized as part of a criminal case.

Meanwhile, according to a May 1 motion filed by FTX Trading Ltd and affiliated debtors in the United States Bankruptcy Court for the District of Delaware, Ryan Salame has agreed to give up a $5.9 million house he owns in the Bahamas.

Salame, who's pleaded guilty to five criminal charges, is facing a plea deal that would have him pay $5.6 million to the debtors.

Instead, Salame accepted to settle the fine with the payment through a property transfer owned by FTX Digital Markets Ltd.

"Salame will satisfy the restitution amount by transferring to FTX DM a residence he owns in the Bahamas, in the name of Unit No. 3A in the Marina Residences at Albany Building 10 Condominium," read the filing.

On the other hand, the debtors said it helps them in that it would preclude Salame from being put in a position of having to fire-sell the residence at a discount, something likely to carry through and injure their ability to monetize other Bahamian properties.

In 2023, realtors from the Bahamas pointed out that the volume of sales of expensive properties had fallen by a whole 25%. Meanwhile, the Australian real estate firm Properstar noted a decline in apartment prices at 28% over the past 12 months.

Salame was charged with making unlawful political contributions, conspiracy to make unlawful political contributions, and conspiracy to commit fraud against the Federal Election Commission, and the United States, as well as operating an unlicensed money-transmitting business.

The filing also revealed that Salame agreed to buy the property in September 2021 for $7.2 million and that the 10% deposit came through, wired from an Alameda Research account at Silvergate Bank.

In November of the year, FTX DM wired from his bank account at Fidelity Bank in the Bahamas $8.1 million to Salame's real estate attorney for the purchase price balance.

In March of 2022, Salame and Alameda entered into the promissory note by which she agreed to pay the $8.1 million to Alameda. However, the implosion of FTX and Alameda came in the early part of November 2022, with bankruptcy filings following shortly after. Salame is currently scheduled for sentencing on May 28, 2024. Sam Bankman-Fried, the former CEO of FTX, was sentenced to serve 25 years in prison on March 30th.