FTX reaches bankruptcy cooperation deal with Bahamas liquidators
BNN Bloomberg
Bahamian liquidators and the U.S. team overseeing the bankrupt FTX crypto empire struck a deal to end most of their legal disputes, the two sides said Friday.
Under the proposal, the two sides will share information about the firm’s crypto assets, dispose of various properties owned by FTX units and cooperate to try to collect as much money as possible for creditors, according to a statement.
Since November, nearly all FTX divisions have been under the control of a U.S.-based group of restructuring professionals led by John J. Ray III, who helped oversee the bankruptcy case of energy trading giant Enron. One unit was put under control of liquidators in the Bahamas, who have worked closely with island securities regulators.
The two teams have squabbled since FTX collapsed amid fraud allegations made against founder Sam Bankman-Fried and some of his partners. Earlier this week, Bankman-Fried pleaded not guilty to criminal charges in federal court in New York.
