George Santos did not attend the event, ultimately betting money on that outcome. In addition to banning him, Kalshi fined Santos more than $70,000 in an enforcement action late last week. Federal authorities have reportedly also been investigating the matter. Santos did not immediately respond to CoinDesk’s request for comment.
Santos was expelled from Congress in 2023 as criminal investigations pursued the disgraced former lawmaker. He was serving a prison sentence for fraud when President Donald Trump commuted it last year.
Kalshi said the Santos case was one of five new enforcement actions at the company. Under its regulatory obligations, the prediction-market platform is responsible for serving as a first line of defense against market manipulation. The other individuals received temporary trading bans after cooperating with Kalshi’s investigations.
“Mr. Santos faces additional financial penalties and will be banned permanently from trading on Kalshi given his lack of cooperation,” a spokesperson said in a statement.
The U.S. Commodity Futures Trading Commission, which regulates the industry, also fined a former White House aide for illicit trading late Friday. Gabriel Perez was ordered to pay more than $170,000 and received a three-year trading ban. The penalties were reduced after what regulators described as his “exemplary cooperation.”
