U.S. bankruptcy lawyers for the failed cryptocurrency exchange FTX said that former CEO Sam Bankman-Fried was transferred from a U.S. court to the Bahamas to manage assets. In court filings, it said it was undermining efforts to rebuild the company with “constant, disruptive tweets” that appeared to be aimed at taking it to court.
FTX, now in the hands of restructuring expert and new CEO John J. Ray, has filed a lawsuit once morest a federal judge in Wilmington, Delaware, over FTX’s bankruptcy in New York, filed by Bahamas liquidators. Asked to move to Delaware.
Such a move would consolidate bankruptcy-related proceedings in the United States into one court. FTX’s legal team also advocates for “any person or department of government” to prevent any action to seize FTX’s assets or collect funds in any courts around the world. appealed to a Delaware judge.
“Major efforts are being made to restore some degree of order to the chaotic environment,” the defense team said in a court document. It’s very important to make sure that consolidation goes forward,” he said.
Vox Media on the 16tharticleposted a screenshot of a Twitter direct message the reporter exchanged with Bankman-Fried. In it, he criticized the authorities, saying FTX made a mistake in deciding to file Chapter 11 bankruptcy proceedings, or else “everything would have been regarding 70% resolved by now.” Let’s go.” He also hinted that he believes the issue can still be resolved “if we can win the jurisdictional battle with Delaware.”
Bankman-Fried did not respond to a request for comment on Vox’s article, but said in his tweet that the content of the message was part of a conversation with “one of my friends” and was not intended to be made public.
Original title:FTX Lawyers Accuse Bankman-Fried of Undermining Bankruptcy (3)(excerpt)