FTX creditors ask for names and info to be redacted from court filings

Several erstwhile FTX customers person asked for their names removed from tribunal filings, according to a Wall Street Journal study connected Dec. 29.

In a ineligible filing from the time prior, customers requested a tribunal bid that would region their names and different identifying accusation from nationalist documents.

Those customers suggested that, if their idiosyncratic accusation is disclosed, they volition endure from a reduced quality to merchantability their assets and maximize their betterment successful FTX’s ongoing bankruptcy case. They besides suggested that the disclosure of their names volition enactment them astatine hazard of becoming targets of individuality theft and online scams.

The filing asserts that immoderate hazard that mightiness “arise from disclosing FTX customers’ names … acold outweighs immoderate imaginable benefits of nationalist disclosure.”

FTX’s lawyers seemed to enactment keeping lawsuit accusation backstage arsenic precocious arsenic November. However, according to the WSJ, bankruptcy proceedings typically necessitate transparency, and FTX was not fixed an exception.

Lawyers from the U.S. Department of Justice person asked for FTX lawsuit information to beryllium revealed successful nationalist filings. Furthermore, assorted media organizations ⁠— specified arsenic the Wall Street Journal, Bloomberg, the New York Times, and the Financial Times ⁠— person besides taken portion successful the lawsuit successful bid to support lawsuit names and accusation public.

Bankrupt lending steadfast Celsius was progressive successful a similar controversy this fall. One 14,000-page tribunal filing, submitted connected Oct. 5, contained the names of thousands of Celsius customers and the amounts that those customers were owed. That incidental attracted monolithic attraction connected societal media and raised concerns astir lawsuit privacy.

FTX has seemingly not attracted the interest of specified a ample group. The ailment this week comes from conscionable 15 creditors who clasp $1.9 cardinal successful claims.

The justice successful FTX’s bankruptcy lawsuit has not yet made a determination connected whether to redact names and information. The substance volition beryllium considered adjacent month.

The station FTX creditors inquire for names and info to beryllium redacted from tribunal filings appeared archetypal connected CryptoSlate.