FTX Founder's Arrest May Help, But Won't Speed Ch. 11 Probe

December 14, 2022Media Mention

Brian Davidoff, chair of the Bankruptcy, Reorganization & Capital Recovery Group, spoke to Law360 regarding the recent arrest of ex-FTX boss Samuel Bankman-Fried by the U.S. Department of Justice on the charges of wire fraud, securities fraud, money laundering and conspiracy for his actions in managing FTX and affiliated hedge fund Alameda Research. 


"At the end of the road, I'm not sure that [his arrest] is going to make a material difference," said Brian L. Davidoff. "It seems that to date, the current management at FTX has been very skeptical of what he has said."

The information generated by the government's inquiries and prosecution of Bankman-Fried will be useful to Ray, but Davidoff said the bankruptcy process will not be appreciably accelerated now that Bankman-Fried is in custody.