The US Bankruptcy Court has granted liquidators the right to revise their claim against the insolvent FTX exchange, raising it from $120 million to an eye-popping $1.53 billion. Chief Judge John Dorsey ruled in favor of the 3AC liquidators, dismissing FTX’s objections that the claim was filed too late or aimed at delaying the bankruptcy process. The judge highlighted that FTX’s failure to provide crucial documents on time had directly contributed to the delays in filing the claim.<\/p>\n
Initially, 3AC\u2019s liquidators submitted a claim of $120 million in June 2023. However, in November 2024, they significantly amended their claim, citing various grievances such as breach of fiduciary duty and unjust enrichment.<\/p>\n
They accused FTX of liquidating assets worth $1.53 billion from 3AC, which was used to settle its debts of $1.33 billion in 2022. This process, they argued, caused significant harm to 3AC\u2019s creditors, and they contend that the liquidation could have been avoided had FTX shared pertinent information in a timely manner. Despite FTX\u2019s objections, the court ruled that the liquidators had demonstrated due diligence in their efforts to obtain necessary records.<\/p>\n