sullivan

ChainCatcher news, according to Cointelegraph, FTX creditors have voluntarily withdrawn their class action lawsuit against the American law firm Sullivan & Cromwell (S&C). The Moskowitz law firm, serving as the lead representative for the plaintiffs, stated that this withdrawal is voluntary and does not involve any settlement agreement.On February 16, 2024, a group of FTX creditors sued S&C, accusing the firm of participating in FTX's multi-billion dollar fraud and profiting from it. The lawsuit sought damages for civil conspiracy, aiding and abetting breach of fiduciary duty, and aiding and abetting fraud. S&C had served as FTX's external legal advisor in several transactions and is currently overseeing FTX's bankruptcy proceedings.Adam Moskowitz, founder and managing partner of the Moskowitz law firm, explained the reason for the withdrawal: "Based on the evidence we have seen, we believe there is not enough reason to file a lawsuit, so we have withdrawn the complaint. Now, we can sit down and work together to try to obtain the maximum compensation for the victims from other third parties."

ChainCatcher news, according to The Block, FTX creditors have filed a class action lawsuit against the law firm Sullivan and Cromwell (S&C), accusing the firm of having close ties with FTX prior to its collapse and bearing partial responsibility for its actions. The lawsuit claims that the law firm was aware of FTX's operations and ultimately supported its fraudulent activities. Since taking on leadership roles, S&C's revenue from FTX-related matters has surged to over $180 million, accounting for 10% of its total revenue for the year 2022.

ChainCatcher news, according to Bloomberg, after Binance reached a multi-billion dollar settlement with the U.S. government, the New York law firm Sullivan & Cromwell is expected to be appointed as the independent monitor for Binance Holdings Ltd. According to sources familiar with the selection process, this firm is the leading contender for the monitor position and is likely to outpace numerous lawyers and consultants vying for this lucrative oversight role. A source who wished to remain anonymous stated that former federal prosecutor and firm partner Sharon Cohen Levin is likely to lead the monitoring team.It is reported that the law firm Sullivan & Cromwell previously handled the FTX bankruptcy matters.

ChainCatcher news, according to Fortune magazine, FTX founder SBF has been criticizing the law firm Sullivan & Cromwell in court documents and on social media over the past few months, suggesting that the firm has betrayed its duty to uphold the best interests of its clients.

ChainCatcher news, according to The Wall Street Journal, Silicon Valley Bank has invited the consulting firm Centerview to discuss self-rescue matters with the law firm Sullivan & Cromwell, which previously handled the FTX bankruptcy case.Earlier, ChainCatcher reported that, according to sources cited by CNBC, Silicon Valley Bank's attempts to raise funds have failed and it is negotiating with large financial institutions to seek a sale. (source link)

ChainCatcher news, according to CoinDesk, court documents show that the law firm Sullivan & Cromwell charged up to $7.5 million during the first 19 days after FTX's bankruptcy.The documents indicate that 32 partners, 85 legal staff, and 34 non-legal personnel worked over 6,500 hours, with some personnel charging as much as $2,165 per hour. Sullivan & Cromwell stated that the fees for senior staff have already been discounted, and the firm is only requesting 80% of the total amount of $9.5 million. (Source link)

ChainCatcher news, FTX CEO Ray stated that the company will be restructured with the assistance of Alvarez, Sullivan, and Cromwell. Filing for bankruptcy protection under Chapter 11 is a necessary step in formulating the next plan. (source link)