Following the collapse of crypto exchange FTX amid allegations that co-founder Sam Bankman-Fried loaned billion of clients’ funds to a trading house he founded, his mother, Stanford law professor Barbara Fried, has stepped down from her role at the Democrat-aligned dark money group Mind the Gap, according to a report by investigative journalist Theodore Schleifer published by Puck News Tuesday.
Both Fried, who founded Mind the Gap and served as the chair of board of directors, and Bankman-Fried’s brother Gabe Bankman-Fried, who served in an undisclosed role, have resigned from the organization, with Fried’s resignation email containing a defense of her son, according to Schleifer. Sam Bankman-Fried, who was the second-largest individual donor to Democrats in 2022 behind George Soros according to OpenSecrets, is currently the target of a lawsuit alleging his now-bankrupt crypto exchange FTX was a “Ponzi scheme,” and is under investigation by the U.S. Department of Justice, U.S. Securities and Exchange Commission, Commodity Futures Trading Commission and New York-based federal prosecutors.