The Delaware bankruptcy court, currently presiding over the Chapter 11 case of FTX Trading Ltd., has given approval for a former federal prosecutor, with experience stemming from the Unabomber case, to investigate allegations that Sullivan & Cromwell, acting as debtor’s counsel, may have a conflict of interest. The former federal prosecutor’s responsibility will be to examine these claims in depth.
With a wealth of experience behind him, this prosecutor, who has not been named, is expected to bring a level of rigor and scrutiny befitting of his previous role on the high profile Unabomber case. Details surrounding the nature of the supposed conflict Sullivan & Cromwell may have as debtor’s counsel are as yet undisclosed.
As FTX Trading Ltd. navigates through the complexities of their Chapter 11 case, the presence of a diligent investigator analyzing the roles of all parties involved just further highlights the serious nature of these proceedings.
For further information on this unfolding situation, you can read about it here.