Feb 16, 2023
Judge Dorsey Denies Motion to Appoint Examiner in FTX Bankruptcy Case
The United States Bankruptcy Court for the District of Delaware recently denied a motion to appoint an independent examiner for the crypto exchange FTX. Judge John Dorsey ruled that the appointment of an examiner would be an “unnecessary burden” on FTX’s debtors and creditors, citing the additional expense.
The motion to appoint an examiner was filed by US Trustee Andrew Vara on December 1, 2021. Vara argued that the appointment of an examiner was “unquestionably in the interests of the Debtors’ creditors” and that an independent investigation could explore whether software was allegedly used to conceal the misuse of FTX user funds, as well as the absence of proper recordkeeping at the firm.
Judge Dorsey cited CEO John Ray’s experience taking over other companies “in dire financial condition” and his decision to appoint four directors to oversee the silos compromising FTX following the removal of previous leadership — some of whom, including former CEO Sam Bankman-Fried, have been indicted in federal court. Judge Dorsey ruled that Ray was “completely independent of prior management and the companies he was appointed to lead”.
“There’s no question that if an examiner is appointed here, the cost of the examination given the scope suggested by the Trustee at the hearing, would be in the tens of millions of dollars, and would likely exceed one hundred million dollars,” said Dorsey. “Given the facts and circumstances of this highly unique case, I have no doubt that the appointment of an examiner would not be in the best interest of the creditors.”
The judge added:
“Every dollar spent in these cases on administrative expenses is a dollar less to the creditors.”
FTX filed for Chapter 11 bankruptcy in November 2022, and the bankruptcy proceedings have been ongoing since then. Debtors in the case recently filed that they had issued subpoenas to FTX insiders including Bankman-Fried, ordering the former executives to turn over certain documents and information.
The web3 space is continuing to grow and evolve, and the promotion and marketing of Non-Fungible Tokens (NFTs) is becoming increasingly important for businesses. NFTs are digital assets that are unique and can be used to represent digital items such as artwork, music, video, and other digital assets.
The use of Twitter for NFT marketing is becoming increasingly popular, and many companies are turning to NFT marketing agencies to help them promote their NFTs. These agencies offer a variety of services, including creating engaging content, running campaigns, and providing analytics and insights.
NFTs are becoming increasingly popular as a way to sell digital assets, and many businesses are now turning to NFT marketing agencies to help them promote their NFTs. These agencies offer a variety of services, including creating engaging content, running campaigns, and providing analytics and insights.
NFTs are a great way to generate revenue and build a loyal customer base. By using a web3 agency, businesses can create a comprehensive NFT marketing strategy that can help them reach new customers and increase their sales. Additionally, businesses can use NFTs to reward customers for their loyalty and to promote their products.
As the web3 space continues to evolve and grow, businesses must stay up to date on the latest trends and technologies in order to remain competitive. By utilizing the services of an NFT marketing agency, businesses can ensure that they are taking advantage of the latest technologies and trends in order to maximize their success.
Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.
