‘No’ New Investigation Into FTX Collapse
Judge John Dorsey of the United States Bankruptcy Court for the District of Delaware denied a new, independent investigation into the defunct cryptocurrency exchange. Dorsey denied the request of the United States Department of Justice’s bankruptcy watchdog, which argued that an independent investigation into allegations of “fraud, dishonesty, incompetence, misconduct, and mismanagement” be launched. The DOJ also claimed that the allegations were “too serious to be left to an internal investigation.”
Judge Dorsey, on the other hand, denied the request, stating that such an investigation would be redundant to other investigations currently being conducted by FTX’s new management team and law enforcement. Dorsey also relied on the experience of FTX’s newly appointed CEO, John Ray’s experience in dealing with companies “in dire need of financial condition.”
(With inputs from Shikha Singh)
You need to login in order to Like
