FTX debtors can issue subpoenas to company 'insiders', says court

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Court says FTX company 'insiders' are fair game when it comes to subpoenas

The judge overseeing crypto exchange FTX’s bankruptcy case has granted a motion allowing the firm’s debtors to request subpoenas for information and documents from former colleagues and family members of Sam Bankman-Fried.

In a Feb. 8 filing, Judge John Dorsey said FTX debtors were authorized under bankruptcy court rules to issue subpoenas to certain individuals “for the production of documents, electronically stored information, or tangible things”. The original motion filed on Jan.

“The Debtors attempted to confer with all of the Insiders to arrange a mutually agreeable date, time, place and scope of production,” said the Jan. 25 filing. “To date, none of the Insiders subject to this Motion have agreed to provide the requested information.” Judge Dorsey granted a separate motion on Feb. 8 ordering subpoenas of “relevant third parties” related to discovery of a confidential investigation. The initial filing from January did not include the names of the third parties, but added they could “possess specific evidence critical to the Debtors’ asset recovery efforts and investigation” into $300 million in unauthorized transfers.to FTX’s case operating alongside the debtors. Judge Dorsey is expected to rule on the matter in a Feb.

 

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