Singapore’s state-owned investment fund, Temasek Holdings, has reduced the compensation of employees involved in its $275 million investment in the now-defunct cryptocurrency exchange FTX.
In November, Temasek officially wrote off the investment, which was made during two funding rounds between October 2021 and January 2022. The fund released a statement acknowledging the inherent risks associated with all investments, noting that in the case of FTX, fraudulent conduct was allegedly concealed from investors.
“Nevertheless, we are disappointed with the outcome of our investment and the negative impact on our reputation,” the statement indicated. It continued, explaining that while there was no misconduct by the investment team during the decision-making process, both the investment team and senior management, responsible for the investment decisions, accepted collective accountability and had their compensation adjusted accordingly.
FTX founder Sam Bankman-Fried is currently facing criminal charges, including conspiracy to commit bank fraud and making unlawful political contributions.
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