The FTX bankruptcy reorganization team submitted a revised reorganization plan to the court on 5/7. If approved by the bankruptcy court, 98% of FTX's creditors will receive 118% of their allowed claim amounts within 60 days after the plan takes effect. However, this news made well-known FTX creditor Sunil Kavuri very dissatisfied. He believed that FTX's law firm Sullivan & Cromwell was pretending to be stupid again and used the media to create the illusion of "a great victory for the client."
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Toggle"The liquidation team stole our money!"
FTX creditor Sunil Kavuri responded to the news of the restructuring plan released by FTX today. He pointed to the report and said, what does "users get back more than their debts" mean? Is this a headline that FTX's law firm wants the media to publish?
For the assets owned by FTX users, FTX is willing to pay more than the market price, and that is what FTX owes. Just because the money was stolen does not mean that Sullivan & Cromwell can ignore such obligations. He said even the US Justice Department judge agreed in the SBF ruling.
Despite this, the relevant court proceedings and proposals do not seem to have been agreed, and FTX’s liquidation compensation plan is currently calculated based on the liquidation price at the time of bankruptcy.
FTT rises inexplicably
Interestingly, during the liquidation process, FTT, which was priced at 0, rose by 25% today:
