The United States Attorney’s Office for the Southern District of New York (SDNY) has established the FTX Task Force with a mission to “trace and recover” customer funds that may have been lost as resulting from the collapse of the exchange, in addition to handling investigations and prosecutions related to the incident.

The news was revealed in a statement issued by the United States Attorney for the District of Columbia, Damian Williams, who is serving as federal prosecutor in the FTX case involving founder Sam Bankman-Fried.

The Manhattan district attorney’s office has filed many charges against Bankman-Fried. These charges include securities and wire fraud, conspiracy to commit securities and wire fraud, money laundering, and violation of campaign finance rules.

In the meantime, the company would use its cyber and asset forfeiture skills to track down and recover billions of dollars in customer cash that has been stolen, it was said.

AlixPartners, a financial advisory firm, was hired in December by FTX’s new management to track FTX’s lost digital assets. This effort was identical to what was already underway by the new FTX management.

The United States Attorney’s Office in Manhattan reportedly began its investigation into FTX’s bankruptcy immediately after the company filed for bankruptcy on November 11.

According to its website, the United States Attorney’s Office for the Southern District of New York is known for prosecuting cases involving violations of federal law and investigates a wide variety of criminal conduct, including when the conduct occurs in far-flung locations. . Additionally, the office is known for pursuing cases involving violations of state laws.

On January 3, Bankman-Fried pleaded not guilty to all eight criminal charges related to the FTX implosion. If convicted, the FTX founder faces a total of 115 years in jail for his role in the company’s collapse.

Wang and Ellison pleaded guilty a month ago in connection with federal fraud charges stemming from their role in the FTX exchange failure.