According to the latest court filings from the company’s Bahamian liquidators, there are signs of “serious fraud and mismanagement” on the bankrupt crypto exchange’s part.
The document filed in the US Bankruptcy Court of the Southern District of New York revealed that the Joint Provisional Liquidators’ findings to date indicate that FTX may have committed serious fraud and mismanagement.
The filing seeks to obstruct the sale of any assets by the company provisionally until a verdict is reached by the courts under Chapter 15 of the US bankruptcy code, which deals with insolvency cases involving more than one country.
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