A former employee of FTX Foundation, FTX’s charity organization founded by Sam Bankman-Fried, Ross Rheingans-Yoo shared that he was extremely surprised by the rapid collapse of FTX and was shocked when customers accused the company of misappropriating funds. Rheingans-Yoo is also working to reclaim his salary and the corresponding 2022 bonus of $275,000 that he was promised.
In the filing sent to the court on November 13, Ross Rheingans-Yoo’s legal representative asserted that FTX Foundation still owes his client a total of $275,000 in salary and bonuses after FTX filed for bankruptcy in November 2022.
In the evidence submitted to the court, Rheingans-Yoo shared a portion of a Google Doc created by Bankman-Fried, outlining the terms of his employment at FTX Foundation, with a base salary of $100,000, excluding other company-specified bonuses.
Rheingans-Yoo emphasizes that he is not part of Bankman-Fried’s ‘inner circle’ and has no involvement whatsoever in FTX misappropriating customer funds. His lawyer added: “Instead, Rheingans-Yoo was a faithful employee who found himself in a mess he did not create.”
Earlier, advisers asserted that FTX had fully paid bonuses to Rheingans-Yoo because he had chosen to be compensated through equity in one of the companies affiliated with FTX just before this trading platform declared bankruptcy.
The fate of Rheingans-Yoo’s substantial bonus will be determined by the Delaware judge overseeing FTX’s bankruptcy case.
It’s known that FTX filed a lawsuit against Latona Biosciences Group, with Rheingans-Yoo alongside Bankman-Fried and several other defendants in July, seeking to recover $71.6 million in investments and contributions. The claim is based on allegations that Rheingans-Yoo and Bankman-Fried personally benefited from these funds.
The FTX explosion has caused significant financial losses for most employees. Outside the U.S., many employees had their salaries paid directly into their accounts on the FTX platform. Therefore, when FTX froze customer withdrawals last year, these employees were also unable to retrieve their money.