Temasek Holdings has cut the pay of the investment team and senior management who were “ultimately responsible” for the investment decision made in failed cryptocurrency firm, FTX.
The state investment company had to write off its entire investment of US$275 million in November 2022.
Lim Boon Heng, who is the chairman of the board at Temasek, issued a statement on May 29 saying that he was “disappointed” with the outcome of its investment as well as the negative impact the failed investment had on its reputation.
“Temasek, as an investor-owner, seeks to deliver sustainable returns over the long term. While there are inherent risks whenever we invest, we believe that we have to invest in new sectors and emerging technologies to understand how these areas may impact the business and financial models of our existing portfolio, and whether they would be drivers of future value in an ever-changing world. This is why we invest into early-stage companies,” reads the statement.
“With FTX, as alleged by prosecutors and as admitted by key executives at FTX and its affiliates, there was fraudulent conduct intentionally hidden from investors, including Temasek,” it adds.
