SBF family, associates refuse to cooperate in FTX bankruptcy case as arrest details emerge

SBF family, associates refuse to cooperate in FTX bankruptcy case as arrest details emerge

January 26, 2023 at 11:12 pm

By Mike Dalton

Developments around the defunct FTX exchange and its former leader have emerged.

Associates and family members of Sam Bankman-Fried are refusing to cooperate in FTX’s bankruptcy case, according to a court filing dated Jan. 25.

SBF associates not cooperating

Following its collapse last November, the once-leading crypto exchange FTX entered bankruptcy proceedings in the U.S. Bankruptcy Court for the District of Delaware.

Now, as part of those proceedings, the company is seeking relevant information from former founder and CEO Sam Bankman-Fried and others with whom he is close.

According to a filing, certain individuals are “currently cooperating” to provide “important information,” while others are not. As such, FTX and its creditor committee aim to have those individuals subpoenaed and compelled to provide documents and information.

That information should aid in recovering supposedly misappropriated funds. Bankman-Fried’s family members and associates have made transactions, received donations, and purchased pieces of property — all of which could be relevant to tracking the flow of funds.

Sam-Bankman Fried himself is allegedly not cooperating with the case. Sibling Gabriel Bankman-Fried and associate Nishad Singh have provided no meaningful response. Associates Gary Wang and Caroline Ellison have refused to provide information.

Furthermore, Bankman-Fried’s mother, Barbara Fried, has ignored requests for information. Lawyers for his father, Joseph Bankman, are reportedly cooperating.