The judge overseeing the bankruptcy case of crypto exchange FTX has granted a motion allowing the company’s debtors to request subpoenas to obtain information and documents from former colleagues and family members of Sam Bankman-Fried.
In a February 8 filing, Judge John Dorsey said FTX debtors were authorized under bankruptcy court rules to issue subpoenas to certain people “for the production of documents, electronically stored information, or tangible things.” The original motion filed on January 25 defined the target of the subpoenas as insiders who are not “currently cooperating with the Debtors to provide material information,” a list that includes Bankman-Fried, the former CEO of Alameda Research, Caroline Ellison, FTX Co-Founder Gary Wang, and members of SBF’s immediate family.
“The Debtors attempted to consult with all Insiders to agree on a mutually agreed date, time, location, and scope of production,” the January 25 filing reads. “To date, none of the Insiders subject to this Motion have agreed to provide the requested information.”
Judge Dorsey granted a separate motion on February 8 ordering subpoenas of “relevant third parties” related to the discovery of a confidential investigation. The initial January filing did not include the names of the third parties, but added that they may “possess specific evidence critical to the Debtors’ investigative and asset recovery efforts” about $300 million in unauthorized transfers.
Bankruptcy court proceedings are underway to consider whether to assign an independent examiner to FTX’s case to work with the debtors. Judge Dorsey is expected to rule on the matter at a hearing on February 9.
Related: FTX seeks to recover political donations by the end of February
In criminal court, Bankman-Fried faces eight counts related to alleged illegal transactions and movement of funds between FTX and Alameda. On February 7, US Attorney for the Southern District of New York Damian Williams asked the court to delay the Securities and Exchange Commission and Commodity Futures Trading Commission civil proceedings against SBF “until the conclusion of the parallel criminal case”.
