The FTX bankruptcy is approaching 1b in costs, ranking among the most expensive historical

The costs of the FTX bankruptcy are approaching $ 1 billion, making it one of the most expensive cases Chapter 11 in the US history.

Court records show that for legal and financial companies in the amount of almost 948 million dollars working on the case, over 952 million dollars approved so far. Despite the huge costs, most customers are expected to recover 118% of their receivables, a rare outcome in bankruptcy Procedurestoward Bloomberg.

High fees arise from efforts to return billions of dollars in funds to spread through complex web accounts. Lawyers and financial advisors played a crucial role in this process with Hedge funds that bought FTX claims At steep discounts among users.

FTK Started the initial distributions To credit them last week, although legal teams continue to follow additional property.

Sullivan & Cromvell

FTX law’s law FTX, Sullivan and Cromvell, has been paid over $ 248 million, while Financial Advisor Alvarez and Marsal received about $ 306 million, according to Bloomberg. The company monitoring of customer receivables and other credential issues is charged for about $ 110 million.

Sullivan and Cromwell played a key role in leading American Treasury and Main Financial Institutions during the Financial Crisis 2008. years. The company was helped by the acquisition of JPMorgan Chasea Stearns Stearns and Government Bailout Aig.

In addition, the company provided a legal and financial lawyer in the last bankruptcy in the Enron, one of the most important cases of corporate fraud in history.

The costs of the FTX case have exceeded the other crypto bankruptcy, including CelsiusGenesis, Blockfi and Voyager Digital, who have made about 502 million dollars together with the costs.

Bankruptcy is still facing liquid litigation, including a lawsuit against Stage I’m looking for $ 1.8 billion.

Although the costs of FTX are significant, they remain significantly below those dead brothers of $ 6 billion – the most expensive in the US history, according to Bloomberg.