FTX Files Lawsuit Against Former Salameda Employees to Recover $157 Million According to the recent court filing,
FTX, the bankrupt crypto exchange, has filed a lawsuit against former employees of Salameda, a Hong Kong-incorporated entity affiliated
with FTX, to recover about $157.3 million.
T
he Hong Kong firm was said to be controlled by the former CEO and founder of the bankrupt FTX, Sam Bankman-Fried, who is currently behind bars awaiting trial.
The former employees
are alleged to have participated in the fraudulent withdrawal of assets from FTX a few days before it filed for bankruptcy in
November 2022.
The lawsuit alleged
Michael Burgess, Matthew Burgess, Lesley Burgess (their mother), Kevin Nguyen, Darren Wong, and two companies, namely 3Twelve Ventures and BDK Consulting, that co-toll multiple assets on FTXcom and FTXus for fraudulently withdrawing assets before
the exchange filed for bankruptcy.
Three months before FTX filed for bankruptcy in 2022, the listed names benefitted from preferential withdrawals that allowed
some customers to withdraw some of their assets before they filed for bankruptcy and "are avoidable under the Bankruptcy Code."
According to the filing,
the alleged personnel had connections with some FTX employees, which they exploited to ensure they were prioritized over
other customers.
