Three Arrows Drama: The liquidator appointed to close the cases of bankrupt Singapore hedge fund Three Arrows Capital has asked a judge to allow him to issue subpoenas. These will be sent via Twitter and email to the fund’s founders, who seem to have disappeared off the air.
The request comes as Teneo, the firm tasked with liquidating the company’s assets, struggles to enlist co-founders Su Zhu and Kyle Davis using traditional methods.
3AC Founder Uncooperative
In fact, the two have only involved the liquidators in person since the initial virtual meeting. Davies reportedly failed to disclose access information for a security deposit box that held crypto credentials.
“The founders, through counsel, maintain that the limited information provided to us to date, which equates to an incomplete list of assets and selective disclosure about means of accessing digital assets electronically, amounts to three is represented by all the documents in his possession relating to the arrows,” Told One of the liquidators acting on behalf of Teneo.
3AC too face scrutiny From two federal oversight agencies well-known to the crypto world: US Commodities and futures Trading Commission and US Securities and Exchange Commission. According to bloombergBoth agencies are investigating whether the hedge fund misled investors by not registering and misrepresenting its balance sheets.
Three Arrows Capital Lost Big Time When Luna Suddenly it became useless. He had invested at least $200 million in the coin. LUNA’s collapse was part of an algorithmic meltdown stable currency The ecosystem related to TerraForm Labs saw investors lose nearly $40 billion.
Since then, the Luna Foundation Guard, an entity designed to help Terraform Labs’ stablecoin maintain its peg to the US dollar, has yet to recoup losses suffered by disinvested parties.
TFL and Do Kwon . with three arrows and links
The lack of cooperation among the founders of Three Arrows Capital mimics the story of Do Kwon, CEO of TerraForm Labs. However, in this matter, Do Kwon, CEO and co-founder of the elusive Terraform Labs, has been a bit more vocal on social media.
Kwon has been engaged in a game of cat-and-mouse with South Korean authorities since the country’s law enforcement issued a warrant for his arrest on September 17, 2022, after he allegedly fled Singapore. He was later on record saying that he was not “running away”.
Shortly after, South Korean prosecutors asked Interpol to issue a “red notice” against the TfL CEO. This would allow law enforcement to temporarily arrest a person as they await extradition or further legal proceedings.
After joining the Red List, Kwon denied that he was hiding. He claimed he was “writing code” in his living room and was not influenced by any law enforcement, despite walking and going to the mall.
The most recent action by South Korean authorities that could force Kwon to reveal his whereabouts is canceling his passport. Officials said they will also reject applications for new passports.
At press time, Kwon did not respond to the repeal, but continued to tweet about progress on the Terra 2.0 blockchain.
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