The U.S. bankruptcy judge said on Wednesday that the proposed investigation would be redundant to other probes being carried out by FTX’s new management and law enforcement
A U.S. bankruptcy judge on Wednesday denied calls for a new, independent investigation into the collapse of crypto exchange FTX, saying that the proposed investigation would be redundant to other investigations being carried out by FTX’s new management and law enforcement.
Judge John Dorsey in Wilmington, Delaware, rejected a request by the U.S. Department of Justice’s bankruptcy watchdog, which argued that an independent examiner must be appointed to investigate allegations of “fraud, dishonesty, incompetence, misconduct, and mismanagement” that are “too important to be left to an internal investigation.”
FTX and the committee representing its junior creditors opposed that demand, saying that the proposed examiner would merely duplicate work already being done by FTX, its creditors, and law enforcement agencies. The proposed examination would also drain millions of dollars from FTX’s limited funds, the company argued.
FTX, once among the world’s top crypto exchanges, shook the sector in November by filing for bankruptcy , leaving an estimated 9 million customers and investors facing billions of dollars in losses., who has been accused of stealing billions of dollars from FTX customers to pay debts incurred by his Alameda Research hedge fund, has pleaded not guilty to fraud charges.
He is scheduled to face trial in October. Several former top executives, including Alameda Research CEO Caroline Ellison, have pleaded guilty to fraud.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Cape Breton's Denny, UPEI Panthers to begin AUS men's hockey playoffs Wednesday | SaltWireSYDNEY, N.S. — A Cape Breton hockey player will kick off the Atlantic University Sport men's hockey playoffs on Wednesday with the Prince Edward Island ...
Read more »
John Tory remains in office ahead of Toronto budget debate WednesdayToronto Mayor John Tory, who stunned the city with his admission of an affair with a former staffer, remains in office today despite announcing a plan to resign.
Read more »
Strong winds, unseasonably warm temperatures expected across GTA WednesdayThe Greater Toronto Area (GTA) is expected to see strong winds and temperatures that “feel more like late March or early April” on Wednesday afternoon, according to Environment Canada.
Read more »
Leafs star Auston Matthews eyeing Wednesday return following knee sprainAuston Matthews is ready to get back into action.
Read more »
Leafs star Auston Matthews eyeing Wednesday return following knee sprain | TSNAuston Matthews is ready to get back into action. The Maple Leafs star told reporters following Tuesday's practice he's aiming to return to the lineup when Toronto hosts the Chicago Blackhawks on Wednesday.
Read more »