Sam Bankman-Fried, the founder and former CEO of cryptocurrency exchange FTX, has been charged with fraud by the U.S. Securities and Exchange Commission (SEC).

The SEC alleges that Bankman-Fried concealed the transfer of FTX customer funds to his trading firm, Alameda Research LLC, while raising over $1.8 billion from equity investors.

In addition, the agency also claims that Alameda was given special treatment by FTX through a “virtually unlimited line of credit,” while the exchange failed to disclose its exposure to Alameda’s risky holdings of “overvalued, illiquid assets.”

Furthermore, the complaint also alleges that Bankman-Fried used customer funds for undisclosed venture investments, lavish real estate purchases, and large political donations.

Bankman-Fried was arrested by the Bahamian police at the request of U.S. authorities on charges of wire fraud, securities fraud, and money laundering.

The agency said that investigations into additional violations and other entities and persons related to the alleged misconduct are ongoing.