FTX has filed lawsuits against several individuals and entities in a bid to recover some funds for its creditors. The filing comes just a month after its reorganization plan was approved by a Judge. Some of the entities involved in the lawsuit include Skybridge Capital CEO Anthony Scaramucci, game developer Storybook Brawl, and some others.
The lawsuit is an attempt by FTX to recoup some of the funds splurged by its previous CEO Sam Bankman-Fried on some of these entities. The firm said during the period he made the payments, the company was already insolvent. The adversary lawsuit argues that investments were worthless in some cases, and not equal to the value gained.
FTX sues Anthony Scaramucci and Skybridge Capital
FTX is dragging Anthony Scaramucci and his company, Skybridge Capital, to court over a variety of investments worth $100 million made by SBF. The former CEO invested in several properties owned by Skybridge, including the company’s funds. He also sponsored Scaramucci’s SALT conference. The filing noted that Scaramucci identified him as someone with the capacity to spend so much without asking questions.
The filing also claimed that Scaramucci and another defendant, Bret Messing, sold some tokens that the firm bought via an investment from FTX. The filing said the investment made no sense, and both defendants sold the tokens without proper approval. The lawsuit claims the tokens are presently worth $120 million.
FTX wants the court to order Scaramucci to repay $12 million from the SALT sponsorship, $55 million from investments in two entities, and damages due to the breach of contract from the sold tokens. The lawsuit also wants a $45 million bankruptcy claim made by Skybridge disallowed, noting a claim for the figure as part of SBF’s investment in the company.
The filing includes Storybook Brawl, Meerun, Jean Chalopin
FTX announced the acquisition of Storybook Brawl in 2022. The fantasy-themed auto battler video game was Sam Bankman-Fried’s favorite after League of Legends. According to a recent lawsuit, the game developer Good Luck Games (GLG) belonged to the former CEO’s godbrother and some friends. The video game received $25 million in investments from FTX.Â
The lawsuit stated that although the game did not go past beta testing, nor did it enter any gaming market, the defendants kept receiving funds through the bankruptcy period, earning about $2 million in salaries and bonuses. Although GLG wanted to repurchase the game for $1.4 million, FTX refused. Now, FTX wants GLG to repay $24 million from the investment.
Similarly, FTX is suing the individual behind its numerous high-profile exploits Nawaaz Mohammed Meerun. The lawsuit alleges that Meerun profited over one billion dollars from various manipulations on the exchange, including illiquid coins BTMX and MobileCoin.
The lawsuit claims that Meerun continued to perform his exploits on the platform, even after its collapse. The most recent exploit was executing a governance attack on a crypto lending program in June using the alias “Humpty the Whale.” FTX wants to recover funds stolen by Meerun, noting that he violated its terms. The firm wants $30 million and argues that the court disallows the bankruptcy claim of $13 million made by Meerun.
Another defendant is Bahamas-based bank Deltec and its Chairman, Jean Chalopin. The defendant is in a class-action lawsuit for his activities in FTX. The firm listed Chalopin because of an $11 million investment made in exchange for a 10% stake in its other company, Farmington State Bank – another defendant in the lawsuit
The lawsuit noted that the bank was one of the smallest by assets, with its net worth at $5 million. FTX paid double the amount for 10% of the company. After the investment, the bank rebranded as Moonstone Bank and began offering crypto services. It reverted to its previous name after authorities seized $50 million belonging to FTX. The lawsuit wants to recoup the $111.5 million invested in the bank.
