1 year ago
Alameda Research and West Realm Shires, 2 wings of the bankrupt FTX empire, are seeking to claw backmost $6.9 cardinal from Embed Financial shareholders, a broker-dealer that Sam Bankman-Fried acquired utilizing FTX funds.
According to a Wednesday tribunal filing successful Delaware, Alameda alleges that Bankman-Fried and different FTX insiders paid Embed utilizing misappropriated funds successful precocious September 2022, lone weeks before the crypto speech filed for bankruptcy.
Alameda and West Realm Shires (better known arsenic FTX US) are seeking to reclaim wealth paid to Embed shareholders nether bankruptcy laws, whereby courts to undo "fraudulent transfers," transfers of a company's assets successful bid to forestall them being repaid to creditors.
The shareholders targeted by the enactment see Y Combinator and Bain Capital Ventures.
Edited by Parikshit Mishra.
English (US) 