Last Updated on December 17, 2022 by Bitfinsider

Three well-known Democratic organizations have resolved to return over $1 million to investors who lost their money as a result of misappropriation following the arrest of former FTX CEO Sam Bankman-Fried (SBF).

After the billionaire was charged with eight counts of financial crimes on Dec. 16, the Democratic National Committee (DNC), the Democratic Senatorial Campaign Committee (DSCC), and the Democratic Congressional Campaign Committee (DCCC) agreed to repay SBF’s campaign contributions.

In an interview with the Verge, a DNC spokeswoman apparently confirmed this choice: “Given the allegations around potential campaign finance violations by Bankman-Fried, we are setting aside funds in order to return the $815,000 in contributions since 2020. We will return as soon as we receive proper direction in the legal proceedings.”

According to the Washington Post, the other two Committees, DSCC and DCCC, have also reportedly promised to set aside $103,000 and $250,000, respectively. SBF previously acknowledged to having given significantly to both political parties.

SBF has previously stated on a podcast that he intended to spend up to $1 billion to influence the 2024 presidential election.

Karine Jean-Pierre, the press secretary for the White House, declined to respond to inquiries on the reimbursement of SBF’s prior contributions to the party.

She said, “I’m covered here by the Hatch Act,” which forbids civil service employees, particularly those working for federal agencies, from engaging in certain political activity, when questioned.

With his $5.2 million in contributions, Bankman was the second-largest “CEO contributor” to Biden’s 2020 campaign.