Disgraced FTX founder Sam Bankman-Fried (SBF) is making an attempt to regain entry to his Robinhood shares, price over $460 million. The previous CEO of the collapsed crypto change claimed that he wants them to “pay for his prison protection,” stressing that with out them the implications could be severe and “irreparable.” FTX prospects, however, “face solely the opportunity of financial loss,” SBF’s court docket submitting states.
Disputes Over Robinhood Shares
FTX co-founder and former CEO Sam Bankman-Fried (SBF) is making an attempt to regain management of his Robinhood shares which might be presently disputed by a number of events, together with SBF himself, the brand new FTX administration, and bankrupt crypto lender Blockfi.
Bankman-Fried has requested the chapter court docket to disclaim the movement to implement the automated keep (keep movement) filed by the brand new FTX administration on 56,273,269 shares of Robinhood Markets Inc. (Nasdaq: HOOD), price greater than $460 million, a Thursday court docket submitting reveals.
The court docket doc particulars that the previous FTX chief “requests that the keep movement be denied” as a result of the brand new FTX administration has “failed to hold their heavy burden of creating that such a unprecedented treatment is warranted.” Furthermore, the keep movement must be “moot” because the U.S. Division of Justice (DOJ) has obtained a warrant to seize the Robinhood shares, the court docket submitting provides, noting that the brand new FTX administration has not withdrawn the keep movement, prompting Bankman-Fried to file an objection.
The court docket submitting additional explains that SBF “requires a few of these funds to pay for his prison protection,” claiming {that a} “monetary lack of ability to defend oneself has severe penalties, and is irreparable.” The submitting continues:
Conversely, the FTX debtors face solely the opportunity of financial loss.
Bankman-Fried argued that the Robinhood shares in dispute should not owned by Alameda Analysis or every other entities implicated within the FTX chapter. As a substitute, they’re owned by Emergent Constancy Know-how Ltd., an organization that’s 90% owned by him. Based on the court docket submitting, Bankman-Fried and Gary Wang, one other FTX government, borrowed the funds from Alameda for Emergent to buy the Robinhood shares.
Crypto Neighborhood Outraged by SBF’s Statements
Many individuals on social media are outraged by Bankman-Fried’s declare that he’s dealing with higher hurt than FTX prospects who solely undergo “the opportunity of financial loss.”
One individual tweeted: “SBF provides new which means to chutzpah. Arguing in court docket that the steadiness of equities weighs in favor of him promoting HOOD to pay his personal authorized charges as a result of jail is a priceless hurt and FTX collectors will solely undergo financial loss.” One other opined:
This is among the most disgusting strains I’ve ever learn. Associating your identify with a declare that debtors’ financial loss isn’t a matter of life and dying for some folks is heartless and out of contact. What occurred to ‘Nothing issues greater than making prospects complete’?
What do you consider Sam Bankman-Fried claiming that he wants the Robinhood shares greater than FTX prospects who solely face “the opportunity of financial loss”? Tell us within the feedback part under.
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