Michael Lewis on Bankman-Fried’s biggest fear in jail

 FTX founder and ex-CEO Sam Bankman-Fried was convicted on all counts Thursday after the jury deliberated for a mere few hours. The charges carry a potential sentence of over 100 years, yet it is unclear how much time he will serve. 

Last month, Michael Lewis – the author of "Going Infinite: The Rise and Fall of New Tycoon" – appeared on CBS’ "60 Minutes" Sunday to discuss his book and Bankman-Fried’s state of mind ahead of the trial. CBS’ Jon Wertheim asked Lewis, who met with Bankman-Fried over 100 times in a two-year period for the book, what the 31-year-old fears the most about prison.

"Not having the internet," Lewis said. "Now that sounds crazy, but I do think that if he had the internet, he could survive jail forever. Without having a constant stream of information to react to – I think he may go mad."

"If you gave Sam Bankman-Fried a choice (this is quite serious) of living in a $39 million penthouse in the Bahamas without the internet, or the Metropolitan Detention Center in Brooklyn with the internet, there’s no question in my mind he’d take the jail," Lewis added.

Bankman-Fried’s cryptocurrency exchange FTX imploded last year, falling from being the second-largest crypto exchange in the world valued at an estimated $32 billion to entering bankruptcy in November 2022. Part of its demise was linked to the so-called "crypto winter" after Bitcoin fell below the $16,000 level, it has since rebounded. 

FTX’s collapse occurred as it was hit with a rush of withdrawals amid reports it had commingled funds with its sister hedge fund, Alameda Research, to cover the hedge fund’s losses. Alameda was run by Bankman-Fried’s top deputy and ex-girlfriend Caroline Ellison, who pleaded guilty to wire fraud and conspiracy last year and was a key witness against Bankman-Fried, testifying that he instructed her to commit fraud. 

Customers of the crypto exchange lost billions of dollars amid the collapse, and current FTX CEO John Ray III, who was brought in to replace Bankman-Fried following the firm’s collapse, has been working to claw back those funds. Retail investors who put money into FTX may not see the recovery of their investments as the bankruptcy process continues to play out.

The collapse of FTX also left creditors ranging from Amazon Web Services to Jimmy Buffett’s Margaritaville Resort in the Bahamas hanging in the lurch.

Ray, who previously oversaw the bankruptcy of scandal-plagued energy firm Enron in 2001, slammed Bankman-Fried’s management of the firm writing in bankruptcy filings last November, "Never in my career have I seen such a complete failure of corporate controls and such a complete absence of trustworthy financial information as occurred here." 

Among the examples of Bankman-Fried’s mismanagement noted by Ray were the use of emoji approvals for employee payments, the lack of a comprehensive list of bank accounts or a full roster of employees, plus the use of corporate funds to buy homes and personal items.

Bankman-Fried has previously acknowledged that he should have "stress tested more rigorously" but has denied mishandling or stealing funds. He maintained that position during his trial. 

Bankman-Fried was first arrested in the Bahamas, where FTX International was based, before being extradited to the U.S. in December. Federal prosecutors in Manhattan have accused Bankman-Fried of misleading investors and lenders, and stealing billions of dollars in customer funds to buy real estate, make political contributions, and make up for losses at Alameda.

He was released on $250 million bail and remained on house arrest for several months at the California home of his parents, Joseph Bankman and Barbara Fried, before U.S. District Judge Lewis Kaplan revoked his bond in August over prosecutors' claims the former CEO attempted to tamper with at least one witness.

Bankman-Fried pleaded not guilty to all the charges against him, but members of his inner circle — four former FTX and Alameda executives — have all pleaded guilty to crimes connected to the companies' downfalls and testified against him in the trial after agreeing to cooperate with the government.

https://www.foxbusiness.com/markets/ftx-founder-sam-bankman-fried-biggest-fear-jail-revealed-author

What are the US MQ-9 Reaper drones that have been flying over Gaza?

 Several U.S. MQ-9 Reaper drones have been orbiting over Gaza amid Israeli strikes and military activity there, U.S. officials and a source have told Reuters, and the flights are part of an effort to help locate hostages, 10 of whom are said to be from the United States.

Below is a description of the MQ-9 drone based on information from the Air Force and its maker, General Atomics.

WHAT IT DOES AND WHO OWNS IT:

The General Atomics MQ-9 Reaper unmanned aerial vehicle can loiter at altitudes of around 50,000 feet for more than 27 hours, gathering intelligence with sophisticated cameras, sensors and radars. It has a 66-foot (20.12 m) wingspan, a Honeywell engine, can carry 3,900 pounds (1769 kg) of fuel and has a maximum speed of 240 knots (444 kph).

The Reaper, which entered service with the U.S. Air Force 16 years ago, can be equipped with weapons such as air-to-ground missiles.

MQ-9s have also been bought by the U.S. Department of Homeland Security, NASA, the UK Royal Air Force, the Italian Air Force, the French Air Force and the Spanish Air Force.

WHAT WAS IT DOING IN GAZA?

Officials say the flights there were unarmed and used onboard sensors to search for hostages. The aircraft can carry high-powered cameras, including those that can spot heat or operate with little to no visible light.

According to reports, at least six of the aircraft have been used, and their flight paths have focused on southern Gaza. Amelia Smith, an aviation researcher cited by the New York Times, said the Reapers typically loitered over the area for about three hours, flying at an altitude of about 25,000 feet.

Officials said it was thought to be the first time U.S. drones have flown over Gaza.

WHAT ARE THE ADVANTAGES OF DRONES?

Drones are generally less expensive than crewed aircraft with similar capabilities, and are safer for operators because they do not require a pilot. Unlike most other aircraft, drones can loiter for hours gathering intelligence. They cost about $3,500 per flight hour, compared with about $8,000 per flight hour to operate, for example, an F-16, according to General Atomics.

According the U.S. Air Force, four MQ-9 aircraft with sensors, a ground control station and a satellite link cost about $56.5 million.

CAN AN MQ-9 DEFEND ITSELF?

General Atomics says the MQ-9 has "demonstrated an air-to-air weapons capability" in Air Force tests. It can also be equipped with a "Self Protect Pod" that can detect threats and deploy countermeasures against surface-to-air weapons.

https://news.yahoo.com/us-mq-9-reaper-drones-174559653.html

US, Arab leaders to meet over Gaza as casualties mount

 Secretary of State Antony Blinken landed in Jordan's Amman on Friday.

He's set to meet on Saturday with foreign ministers of Arab states, as well as Palestinian representatives, to discuss the Israel-Hamas war.

The Jordanian foreign ministry said in a statement Arab officials, from Saudi Arabia, Qatar, the United Arab Emirates and Egypt will call for...

... "an immediate ceasefire, delivering humanitarian aid and ways of ending the dangerous deterioration that threatens the security of the region."

Washington maintains robust military and political support for Israel, while it calls on Israel to avoid civilian deaths and address Gaza's humanitarian crisis.

U.S. officials are also making intense efforts to gain the release of hostages.

On Friday, an official told Reuters there was "indirect engagement" aimed at finding a way to get hostages released, but the work was extremely difficult.

Hamas had taken over 240 hostages in its October 7 assault on southern Israel, many of the captives are still in Gaza as the Israeli military imposed a siege on the enclave.

Meanwhile the death toll from an Israeli airstrike on an ambulance in northern Gaza has risen to at least 15 people, while over 60 people were wounded, according to the Gaza Health Ministry.

Video obtained by Reuters on Friday shows the aftermath of the strike. Some of the images, verified by Reuters, are too graphic to show in their entirety.

Health officials in the Hamas-run enclave say the ambulance was part of a convoy carrying injured Palestinians to Gaza City's al-Shifa Hospital.

The Israeli military said the strike targeted Hamas militants, and the ambulance was being used by a "terrorist cell" to ferry weapons and fighters.

Reuters was unable to independently verify accounts from both sides.

https://www.marketscreener.com/news/latest/US-Arab-leaders-to-meet-over-Gaza-as-casualties-mount-45242251/

UK urges Iran to use influence to prevent escalation of Israel-Hamas conflict

 British foreign minister James Cleverly has urged Iran to use its influence with groups in the Middle East region to prevent an escalation of Israel's conflict with Hamas.

Britain's Foreign Office said Cleverly spoke to Iranian Foreign Minister Hossein Amir-Abdollahian on Friday, telling him "Iran bore responsibility" for the actions of groups, such as Hamas and Hezbollah, that it has supported for many years.

Cleverly also reiterated that Iranian-backed threats against people in the United Kingdom were unacceptable and must stop, a Foreign Office spokesperson said.

Britain has supported Israel's right to defend itself after an Oct. 7 attack by militant group Hamas that Israel said had killed 1,400 people, mostly civilians, and saw over 200 others kidnapped.

https://www.marketscreener.com/news/latest/UK-urges-Iran-to-use-influence-to-prevent-escalation-of-Israel-Hamas-conflict-45242368/

Western officials broach with Kyiv issue of possible peace talks with Moscow - NBC

U.S. and European officials have spoken to the Ukrainian government about what possible peace negotiations with Russia might entail to end the war, NBC quoted an unidentified senior U.S. official and one former U.S. official as saying.

The war in Ukraine, now in its 21st month, has killed or wounded hundreds of thousands and destroyed swathes of the country. It has also triggered the deepest crisis in Moscow's relations with the West since the 1962 Cuban Missile Crisis.

NBC said the conversations had included very broad outlines of what Ukraine might need to give up to reach a deal with Russia.

Reuters was not able to independently verify the conversations reported by the U.S. television network.

The conversations with Ukraine come amid concerns among U.S. and European officials that the war has reached a stalemate and also about the West's ability to continue providing aid to Ukraine, NBC quoted the officials as saying.

Russia currently controls about 17.5% of Ukraine's internationally recognised territory.

Moscow says it had to launch what it calls the "special military operation" in Ukraine in response to what it sees as a hostile and aggressive West it says is using Kyiv to undermine Russia. Kyiv and its Western allies say this is nonsense and that Moscow's actions are an imperial-style land grab.

The Kremlin says it will achieve all of its aims in Ukraine. Kyiv says that it wants to take back control over all of the territory taken by Russia, including Crimea which was annexed in 2014, and that it will not rest until every last soldier is ejected from its territory.

https://www.marketscreener.com/news/latest/Western-officials-broach-with-Kyiv-issue-of-possible-peace-talks-with-Moscow-NBC-45242920/

Regenxbio Positive One Year Data from Phase II Trial of ABBV-RGX-314 for Diabetic Retinopathy

 

• ABBV-RGX-314 continues to be well tolerated in 50 patients from dose levels 1 and 2 (Cohorts 1-3) with no drug-related serious adverse events
• Dose level 2 prevented disease progression and reduced vision-threatening events in non-proliferative diabetic retinopathy patients at 1 Year 
  • 70.8% of patients achieved Diabetic Retinopathy Severity Scale improvement vs. 25.0 % in control 
  • 0% of patients worsened ≥2 steps vs. 37.5 % in control
  • ABBV-RGX-314 reduced vision-threatening events by 89% compared to control
• Conference call Monday, November 6, 8:30 a.m. ET

In connection with this announcement, REGENXBIO will host a conference call to discuss the Phase II ALTITUDE trial data with Dr. Barakat and Dr. Peter Kaiser, Chaney Family Endowed Chair in Ophthalmology Research and Professor of Ophthalmology, Cleveland Clinic Lerner College of Medicine and Cole Eye Institute, and Dr. Pakola on Monday, November 6 at 8:30 a.m. ET. Listeners can register for the webcast via this link. Analysts wishing to participate in the question and answer session should use this link. A replay of the webcast will be available via the company's investor website approximately two hours after the call's conclusion. Those who plan on participating are advised to join 15 minutes prior to the start time.

Data presented is available on the "Publications" section of the REGENXBIO website at www.regenxbio.com.

https://www.biospace.com/article/releases/regenxbio-presents-positive-one-year-data-from-phase-ii-altitude-trial-of-abbv-rgx-314-for-treatment-of-diabetic-retinopathy-using-suprachoroidal-delivery/

Novo, Lilly Weight-Loss Drug Juggernaut Has Nowhere to Go But Up

 In the pharma industry, there are blockbuster drugs and—for the truly fortunate companies—mega blockbusters. However, Novo Nordisk’s Wegovy and Eli Lilly’s Mounjaro are in a category all to themselves, which is confounding analysts trying to get a handle on their potential market size amid the frenzied demand for these weight-loss medicines. 

Goldman Sachs analysts forecast that the obesity drug market could reach $100 billion, with the Novo-Lilly duopoly capturing about 80% of the market share by 2030. However, Guggenheim analyst Seamus Fernandez predicts that the total addressable market for GLP-1 drugs like Wegovy and Ozempic could range from $150 billion to $200 billion. These drugs give new meaning to Buzz Lightyear’s famous catchphrase in the Toy Story movies: “To Infinity and Beyond!”       

This week, we got a taste of how explosive demand for these drugs is and how difficult it is to forecast. Riding the wave of skyrocketing Wegovy and Ozempic sales, Novo on Thursday raised its sales and operating profit outlook for the rest of the year as part of its third-quarter earnings announcement. In the quarter, Wegovy brought in nearly $1.38 billion in revenue, a whopping 730% spike from the same period in 2022.  

Not to be outdone, Lilly’s injectable type 2 diabetes drug Mounjaro—currently used off-label for weight loss and awaiting FDA approval for obesity—captured $1.4 billion in the third quarter, up from $980 million the previous quarter and well above the $1.2 billion consensus estimate from analysts. 

Is there anything that could put a damper on this weight-loss drug juggernaut? Well, yes, the market forces of supply and demand. 

Given strong demand for Mounjaro, Lilly CFO Anat Ashkenazi told investors on Thursday that the company continued to “experience tight supply throughout most of Q3, which impacted results for the quarter.” And, while supply constraints have eased in the U.S., Mounjaro supply is tight in other parts of the world “which materially impacted performance in these regions,” with demand expected to remain high. 

Asked about Wegovy supply going into 2024, Novo Nordisk CFO Karsten Munk Knudsen told investors on Thursday that next year the company “will be delivering significant step-up in volumes” to the U.S. market compared to 2023. Nonetheless, CEO Lars Fruergaard Jørgensen on a media call Thursday provided a more sober assessment, saying that “underlying demand will continue to outpace supply in the short to medium term.” 

https://www.biospace.com/article/novo-lilly-weight-loss-drug-juggernaut-has-nowhere-to-go-but-up-/