FTX creditors withdraw class action against the U.S. law firm Sullivan & Cromwell

2024-10-10 16:37:26

Collection

ChainCatcher news, according to Cointelegraph, FTX creditors have voluntarily withdrawn their class action lawsuit against the American law firm Sullivan & Cromwell (S&C). The Moskowitz law firm, serving as the lead representative for the plaintiffs, stated that this withdrawal is voluntary and does not involve any settlement agreement.

On February 16, 2024, a group of FTX creditors sued S&C, accusing the firm of participating in FTX's multi-billion dollar fraud and profiting from it. The lawsuit sought damages for civil conspiracy, aiding and abetting breach of fiduciary duty, and aiding and abetting fraud. S&C had served as FTX's external legal advisor in several transactions and is currently overseeing FTX's bankruptcy proceedings.

Adam Moskowitz, founder and managing partner of the Moskowitz law firm, explained the reason for the withdrawal: "Based on the evidence we have seen, we believe there is not enough reason to file a lawsuit, so we have withdrawn the complaint. Now, we can sit down and work together to try to obtain the maximum compensation for the victims from other third parties."

(Source Link)

ChainCatcher reminds readers to view blockchain rationally, enhance risk awareness, and be cautious of various virtual token issuances and speculations. All content on this site is solely market information or related party opinions, and does not constitute any form of investment advice. If you find sensitive information in the content, please click "Report", and we will handle it promptly.