FTX insiders including Sam Bankman-Fried (SBF) have received subpoenas from FTX’s committee of unsecured creditors to provide detailed information related to the exchange’s collapse.
FTX’s committee of unsecured creditors received the U.S. bankruptcy court’s approval to issue subpoenas to individuals with insider information on the inner workings of FTX.
In roughly five different documents filed on Feb. 14, the committee subpoenaed FTX insiders including SBF, Zixiao Wang, Caroline Ellison, Anjan Sahni, Nishad Singh, Russell Capone, and Joseph Bankman.
All the named individuals were required to turn in all documents related to payments received or made to FTX. In addition, they are required to provide details of communication made with the FTX group, other FTX insiders, and the Bahamian authority.
The court has ordered the FTX insiders to produce the required documents in full by Feb. 16.
Specific Subpoena to SBF
Specifically, FTX founder SBF was ordered to turn in all financial documents related to FTX and Emergent Technology (a business he ran with former FTX executive Gary Wang).
SBF was asked to clearly explain the decision behind his resignation as CEO and the appointment of John Ray III as FTX CEO.
SBF is expected to produce documents related to FTX’s proposed sale to Binance, and why Binance turned away from the deal.
The court also called on SBF to defend the decision to claim that FTX US was solvent — even at the brink of FTX Global bankruptcy.
SBF is expected to respond to the subpoena with the required documents by Feb. 17.
Meanwhile, Judge Kaplan has ordered SBF to return to court on Feb. 16 for flouting court orders that prohibited him from using VPN services.
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