FTX creditors sue bankruptcy law firm S&C, alleging fraud involvement

FTX creditors are seeking damages against the law firm Sullivan & Cromwell for its prior involvement with the crypto exchange.

The FTX bankruptcy case has unfolded into a new chapter as the exchange’s creditors have filed a class-action lawsuit against the law firm overseeing the case.

In a court filing on Feb. 16, FTX creditors alleged that Sullivan & Cromwell, also known as S&C, actively participated in the “FTX Group’s multibillion dollar fraud,” claiming the company benefited financially from FTX’s fraud.

The lawsuit seeks damages for a number of counts, including civil conspiracy, aiding and abetting fraud, and aiding and abetting fiduciary breaches.

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Source: https://cointelegraph.com/news/ftx-creditors-sue-sullivan-cromwell-alleging-fraud-involvement