ChainCatcher news, according to Coindesk, a New York judge has ruled that the civil securities fraud lawsuit filed by New York Attorney General Letitia James against Digital Currency Group (DCG) and its executives can proceed.The lawsuit was initiated in 2023, with defendants including DCG CEO Barry Silbert, the bankrupt subsidiary Genesis Global Capital and its former CEO Michael Moro, as well as the cryptocurrency exchange Gemini. Prosecutors allege that they collectively concealed a $1 billion asset shortfall at Genesis caused by the collapse of Three Arrows Capital. The defendants had previously sought to dismiss the lawsuit on the grounds that the prosecution lacked legal basis, but the court rejected that request, finding that the standard for the prosecution's allegations had been met.In previous news, DCG and its executives once again urged the New York Attorney General to withdraw the civil fraud lawsuit.

ChainCatcher message, Digital Currency Group (DCG) released a statement regarding the Genesis mediation, stating that DCG continues to engage with various stakeholders in the restructuring process of Genesis Capital during the 30-day mediation period signed by the parties on May 1. To provide further financial flexibility, DCG is discussing growth capital with capital providers and refinancing the debt between itself and Genesis. (Source link)

ChainCatcher news, Digital Currency Group (DCG) owes approximately $630 million in term loans to Genesis, which will mature in the second week of May 2023. If DCG fails to pay or restructure its debts between May 9 and May 11, it may default.Previous news, Genesis lawyers stated in court on April 30 that they hope to hold two mediation meetings before May 8, with the final terms of the transaction to be announced after the mediation period ends. (Source link)

ChainCatcher news, Digital Currency Group (DCG) released a statement regarding the mediation motion submitted against Genesis, stating, "Two months after all parties agreed to the comprehensive settlement submitted by Genesis Capital to the bankruptcy court, some Genesis Capital creditors have rejected it and made new demands. Our understanding is that a portion of the creditors has decided to abandon the previous agreement, and it is unclear whether thousands of individual creditors are aware of this development, but the latest actions will prolong the court's proceedings."ChainCatcher previously reported that Digital Currency Group (DCG) reached a principle agreement with Genesis creditors (holding or representing over $2 billion in claims) in February, where DCG would exchange $1.1 billion in bonds maturing in 2032 for convertible preferred stock issued by DCG as part of Genesis's bankruptcy plan. DCG would also refinance its existing 2023 term loan with a new senior secured term loan to be paid to creditors in two tranches, totaling approximately $500 million. (source link)

ChainCatcher news, according to bankruptcy court documents, the bankrupt crypto lending platform Genesis has asked creditors to specify how much the company owes them before the May 22 deadline and has requested an auction by the June 27 deadline. Bidders considering acquiring Genesis must express their interest by May 5.The sale will include lenders Genesis Global Capital, Genesis Asia Pacific, and Genesis Global Trading, the latter of which has not yet filed for bankruptcy. All three are subsidiaries of Digital Currency Group. (source link)

ChainCatcher news, the cryptocurrency company Genesis will receive a $140 million equity infusion from its parent company Digital Currency Group (DCG). The funding will be used to strengthen Genesis's balance sheet and solidify its position in the crypto market.Earlier, ChainCatcher reported that Genesis Trading disclosed that $175 million of its derivatives-related assets were locked in FTX accounts. (Source link)