Kroll has stepped in as the restructuring administration firm to manage collapsed crypto exchange FTX as it struggles amid its Chapter 11 bankruptcy.
The enterprise was appointed on 12 November and officially announced the news on the 17th. To date, it hopes to build a database of FTX Trading’s total claims along with over 100 linked companies.
Just eight claims have surfaced on the database, with Ethereal Tech filing one for $11.7 million, with all eight cases totalling $40.9 million.
According to reports, FTX Trading owes investors up to $8 billion. Over 750 parties are involved in the case, including a roster of banks, insurance providers, regulators, and debtors, among others.
Press Release:
— FTX (@FTX_Official) November 17, 2022
FTX Group has established Kroll as its claims agent, and all official documents filed with the U.S. Bankruptcy Court can be found online at https://t.co/7Bsn9Ggckf. pic.twitter.com/OFuCmlJXgJ
The filing also indicates that it has listed interested parties to update on ongoing developments. Names on the list include massive multinational firms such as Apple, Facebook, Wells Fargo, Bank of America, Stephen Curry, and others.
This other tweet, just from a few days ago… you guys are nothing but a bunch of criminals who should be behind bars…https://t.co/Cn8FRj2jl1
— Balanced Investor ⚖️ (@InvestorBalance) November 17, 2022
The firm is a subsidiary of Kroll LLC, which managed several of Harvey Weinstein’s sexual harassment cases in 2016. It is also involved in corporate governance, cybersecurity risks, and compliance.
The news comes after FTX, FTX.US, Alameda Research, and nearly 130 interlinked companies filed for Chapter 11 bankruptcy due to a massive liquidity crisis in the crypto exchange last week. The events triggered a series of collapses across the crypto industry, potentially including crypto lending firm BlockFi.
