Court approves FTX bankruptcy plan
The American judge has approved this Monday cryptocurrency platform bankruptcy plan FTX, which plans to distribute from 13,390 to 15,030 million dollars to creditors around the world and in most cases covers reported losses plus interest.
FTX’s managers announced in a filing that they were cleared by a bankruptcy court in Delaware, US, two years after the company filed for bankruptcy protection in the country and handed over control to Chief Executive Officer John J. Ray III. who led the restructuring process.
“We are ready to return 100% of the declared amount. bankruptcy plus interest for non-government creditors through what will be the largest and most complex distribution of assets of a bankrupt estate in history,” Ray said in the note.
FTX Managers They proposed the plan in May And The approved version increases the amount of money slightly. will be distributed through the collection and liquidation of the company’s assets, including its venture capital business FTX Ventures and Alameda Research fund.
Creditors will receive 119% of the declared damages
98% of FTX lenders They will receive about 119% of the money they claimed for the damages.That is, they will return what was lost plus a small compensation within 60 days from the date of filing the application, the note states.
At the moment No application date for the plan or calendar has been announced. distributions.
Managers have “recovered billions of dollars of assets from FTX” through the collaboration of various governments and individuals and are finalizing details to distribute the money “in more than 200 jurisdictions around the world,” the company added. .
FTX, which was one of the largest cryptocurrency platforms in the world, sank November 2022 leaving a multimillion-dollar hole after many users rushed to withdraw their funds amid reports questioning the company’s solvency.
Its founder, Sam Bankman-Fried, 32, was found guilty of fraud and money laundering in March last year and sentenced to 25 years in prison and $11 billion in compensation to victims; verdict and sentence, which he appealed.