As the Chapter 11 bankruptcy process for Sam Bamnkman-Fried’s failed cryptocurrency businesses gets underway, initial court filings have revealed that the largest creditors are owed over $3 billion, according to a report by the Financial Times.
The report cites a list of the 50 largest creditors of FTX and its related companies which was filed on Sunday, all of which are customers and owed more than $20 million, with ten owed five times that amount and two over ten times. Total combined liabilities stemming from the collapse of the businesses are estimated at over than $10 billion, with more than one million creditors.
Publication of the list had been delayed due to problems encountered by bankruptcy practitioners in attempting to locate reliable records at FTX group, which collapsed earlier this month, with bankruptcy expert John Ray III, who has taken control of the business, saying in earlier filings that he had never experienced “such a complete failure of corporate controls and such a complete absence of trustworthy financial information”.
