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☆ The criminal case against Sam Bankman-Fried and Caroline Ellison could put jilted FTX customers in the backseat
▼ + stars: | 2023-02-02 | by ( Sindhu Sundar | Jacob Shamsian | ) www.businessinsider.com time to read: +8 min

The parallel criminal case against SBF, Caroline Ellison, and Gary Wang may be to blame. But they told a Delaware bankruptcy court recently that they hit a roadblock, accusing Sam Bankman-Fried and those close to him of not playing ball with them. The criminal case takes priorityEllison and Wang separately reached plea deals with federal prosecutors in Manhattan, copping to charges including wire fraud and conspiracy. But, experts told Insider, the deals require them to focus on working with prosecutors in the criminal case — even if it could be at the expense of other parties. But when both criminal and civil proceedings are ongoing, it's the criminal case that goes first in line, Snyder said.

☆ Former Allianz Fund Manager Accuses Firm and Its Lawyers of Double-Crossing Him
▼ + stars: | 2023-01-31 | by ( Dylan Tokar | ) www.wsj.com time to read: +5 min

In his brief, Mr. Tournant excerpted a slide containing photos of himself and two other former Allianz executives, which his lawyers likened to a most-wanted poster. Mr. Tournant was also represented by a third firm that wasn’t jointly retained by Allianz, according to his motion. The firms’ agreements required them to inform Mr. Tournant in the event that a conflict of interest arose, according to his motion. Allianz’s posture toward Mr. Tournant changed after Mr. Bond-Nelson broke ties with the firm’s defense team and began shifting blame to Mr. Tournant, according to his brief. The pivot was a direct result of the policies outlined in recent years by officials such as Deputy Attorney General Lisa Monaco, according to Mr. Tournant.

☆ Amazon, Facing Questions Over Workplace Safety, Also Probed on Bank Dealings
▼ + stars: | 2023-01-21 | by ( Richard Vanderford | ) www.wsj.com time to read: +4 min

The office has deployed the 1989 law at the same time the Labor Department presses a workplace safety investigation of Amazon that has already led to several citations. The office also wants video surveillance footage of Amazon facilities and has served subpoenas to take testimony from Amazon employees, including high-level executives, according to Ms. Ahmad. Amazon in court papers in the case in Seattle said the information demands are “unrealistic” and the U.S. Attorney’s Office stretched to assert jurisdiction under Firrea. Any fraud case against Amazon would turn on whether the company had made misrepresentations to lenders and whether those misrepresentations impacted their decision-making, he said. A spokesman for the U.S. Attorney’s Office in Manhattan didn’t respond to a request for information on the identities of the financial institutions whose dealings with Amazon are under scrutiny.

☆ Sam Bankman-Fried is weaponizing Twitter in FTX bankruptcy battle, says crypto exchange's law firm
▼ + stars: | 2023-01-20 | by ( Brian Evans | ) www.businessinsider.com time to read: +2 min

Lawyers for FTX say Sam Bankman-Fried is weaponizing Twitter as he pushes back against bankruptcy proceedings. A judge in the FTX bankruptcy case also rejected claims that the Sullivan & Cromwell law firm has a conflict of interest. In recent tweets and Substack posts, Bankman-Fried has accused the Sullivan & Cromwell law firm of pressuring him to file for bankruptcy as FTX was collapsing in November. "One of the things that the debtors have been facing generally in these cases is assault by Twitter," Bromley said. Earlier in the week, the law firm disclosed that it performed $10 million worth of legal work on behalf of FTX before the exchange filed for bankruptcy.

☆ Judge in FTX bankruptcy case rejects motion to remove elite NYC lawyers
▼ + stars: | 2023-01-20 | by ( Allison Morrow | ) edition.cnn.com time to read: +4 min

New York CNN —One of America’s elite white-collar law firms has emerged as a contentious figure in the complex FTX saga. A judge ruled that the bankrupt crypto platform could retain Sullivan & Cromwell as legal counsel, overruling objections from FTX customers who accused the firm of conflicts of interest. Then FTX’s former top lawyer supported the motion in a court filing, which included additional allegations that one of his former colleagues improperly funneled FTX business to Sullivan & Cromwell. Friedberg alleged that that lawyer funneled business to Sullivan & Cromwell, hoping to curry favor with the firm to which he hoped to eventually return. Earlier this month, a group of US senators also raised objections to Sullivan & Cromwell’s participation in the FTX bankruptcy.

Former top FTX attorney Daniel Friedberg also opposed Sullivan & Cromwell's hiring, saying Thursday that the law firm had conflicts of interest stemming from its connections to Miller. Sullivan & Cromwell has told the court it should not be disqualified simply because it performed some pre-bankruptcy work for FTX. A Sullivan & Cromwell spokesperson has said the firm had a "limited and largely transactional" relationship with FTX prior to the bankruptcy and never served as primary outside counsel to any FTX entity. Serving as primary bankruptcy counsel to FTX would likely allow Sullivan & Cromwell to reap hundreds of millions of dollars in fees, legal experts have said. FTX has sought bankruptcy court permission to pay top Sullivan & Cromwell attorneys more than $2,000 per hour.

☆ Can Miami Beach Stay Hot After Covid? The Shore Club Redevelopment Might Hold the Answer.
▼ + stars: | 2023-01-19 | by ( Katherine Clarke | ) www.wsj.com time to read: +1 min

Architect Robert A.M. Stern is best known for designing buildings for the wealthiest New Yorkers. Some of the largest residential deals in the U.S. have been at his towers overlooking Manhattan’s Central Park. Now, Mr. Stern’s eponymous firm is putting the finishing touches on the design for a Miami Beach project that is seeking to entice those same buyers to the Sunshine State. The project will be the firm’s first oceanfront residential building. Sales of the units are expected to begin later this month.

☆ Sam Bankman-Fried says FTX's lawyers overlooked $428 million in cash – and the bankrupt crypto exchange has the funds to make US customers whole
▼ + stars: | 2023-01-18 | by ( George Glover | ) www.businessinsider.com time to read: +3 min

The collapsed crypto exchange's new bosses said FTX.US hasn't got enough funds to return customers' money. But Bankman-Fried pushed back and said they hadn't included $428 million of cash in the calculations. "Investigation has confirmed shortfalls at both International and US Exchanges," the exchange's lawyers Sullivan & Cromwell said in a presentation Tuesday. FTX.US filed for Chapter 11 bankruptcy protection in November, alongside FTX International and its sister trading firm Alameda Research, among other companies under the FTX umbrella. Read more: FTX lost $415 million worth of crypto in hacker heists, the collapsed exchange's new bosses say

☆ Sam Bankman-Fried Says Law Firm Worked Closely With FTX Before Bankruptcy
▼ + stars: | 2023-01-13 | by ( Mengqi Sun | ) www.wsj.com time to read: +5 min

Sam Bankman-Fried said cryptocurrency exchange FTX had a closer relationship than previously disclosed with its bankruptcy law firm Sullivan & Cromwell LLP, adding to questions about the law firm’s work for past FTX management. Mr. Bankman-Fried is currently under house arrest at his parents’ California home as he faces federal fraud charges. Sullivan & Cromwell was one of two primary law firms FTX International used before the bankruptcy and it was FTX U.S.’s main law firm, Mr. Bankman-Fried wrote in a post Thursday on Substack, an online subscription-based newsletter platform. He added that FTX U.S.’s general counsel was a former member of the law firm without naming him. The new FTX CEO would also be in charge of the bankruptcy process that later picked the law firm as the bankruptcy counsel.

[1/4] The logo of FTX is seen at the entrance of the FTX Arena in Miami, Florida, U.S., November 12, 2022. Companies facing wide-ranging investigations often hire pool counsel for employees. The use of pool counsel suggests that federal prosecutors in Manhattan probing FTX's collapse may be interested in questioning a deep roster of employees. The use of pool counsel enables a single legal team to gain expertise in the case, making it more efficient than having each employee retain individual lawyers, Krissoff said. The arrangement does not mean Covington is representing FTX, which has turned to Sullivan & Cromwell, another law firm.

☆ Sam Bankman-Fried says he sometimes worked at the offices of the lawyers now investigating FTX after criticism of their past links
▼ + stars: | 2023-01-13 | by ( Pete Syme | ) www.businessinsider.com time to read: +3 min

Law firm Sullivan & Cromwell has been criticized for its involvement in FTX's bankruptcy having worked with the crypto exchange before. In a Substack Thursday, however, Sam Bankman-Fried said he sometimes worked out of the firm's New York offices. He added that he believes FTX customers could have been reimbursed if it didn't file for bankruptcy. Andrew Dietderich, of Sullivan & Cromwell, told the court that line of credit was used to fund political donations and lavish purchases. Sullivan & Cromwell did not immediately respond to Insider's request for comment, sent outside normal working hours.

☆ Connecticut lawmaker killed in tragic collision hours after being sworn in
▼ + stars: | 2023-01-06 | by ( Taiyler Simone Mitchell | ) www.businessinsider.com time to read: +3 min

A Connecticut lawmaker died hours after being sworn in as state representative. Lawmakers mourned state Rep. Quentin "Q" Williams following the announcement of his death. The collision occurred around 12:45 a.m. local time just outside of Middletown, Connecticut, on Route 9 in a town called Cromwell. The 39-year-old lawmaker, state Rep. Quentin "Q" Williams of Middletown in the 100th District, a Democrat serving in the Connecticut General Assembly, had been sworn in on Wednesday. The Connecticut State Police and Williams' office did not immediately respond to Insider's request for comment.

☆ Connecticut lawmaker dies in wrong-way crash after attending his own swearing-in ceremony
▼ + stars: | 2023-01-05 | by ( The Associated Press | ) www.nbcnews.com time to read: +2 min

CROMWELL, Conn. — A Connecticut state representative was killed overnight in a wrong-way highway crash after having attended the governor’s inaugural ball and his own swearing-in ceremony for a third term, House Democratic leaders said Thursday. Quentin Williams, a Democrat from Middletown known as “Q,” died in the crash on Route 9 in Cromwell. State police said both drivers were killed and one of the vehicles became fully engulfed in flames. Connecticut State Representative Quentin “Q” Willams. CT House DemocratsSpeaker of the House Matt Ritter, D-Hartford, and Majority Leader Jason Rojas, D-East Hartford, issued a statement saying Williams’ family had announced the lawmaker’s death.

"It's a combination of the FTC and (Justice Department) being willing to litigate and the fact that companies are fighting back," Grosberg said. More recently, they have lost four attempts to block mergers in court, though they are appealing two of the cases. The Justice Department did not immediately respond to requests for comment. Break-up fees that acquirers agree to pay their targets if their deal gets shot down by antitrust regulators are also on the rise. Many companies facing merger challenges say they will fight on, emboldened by the four court losses of the Justice Department and FTC.

[1/2] The logo of FTX is seen at the entrance of the FTX Arena in Miami, Florida, U.S., November 12, 2022. FTX declared bankruptcy on Nov. 11, collapsing amid a wave of customer withdrawals. New York-based law firm Sullivan & Cromwell is representing FTX in its Chapter 11 case and guiding its efforts to return assets to customers. Court-approved billing rates for bankruptcy attorneys did not cross the $2,000-per-hour mark until earlier this year, when a U.S. bankruptcy judge approved a $2,035-per-hour fee in the bankruptcy of cosmetics giant Revlon. Before FTX's bankruptcy, Sullivan & Cromwell represented the company in U.S. regulatory inquiries and on potential acquisitions, including its proposed acquisition of bankrupt crypto lender Voyager Digital.

This is why we have seen less activity," said Dirk Albersmeier, co-head of global M&A at JPMorgan. In the fourth quarter, there has been a 56% contraction in global M&A to $641.2 billion, partly caused by a 66% drop in private equity activity. Top rainmakers expect a pickup in cross-border M&A activity. Going forward, private equity funds are expected to kickstart the recovery as they seek assets at a discount. We were probably more optimistic a year ago," said David DeNunzio, global head of M&A at Wells Fargo.

☆ Historic crown to be modified for King Charles's coronation
▼ + stars: | 2022-12-03 | by ( ) www.reuters.com time to read: +1 min

[1/3] An undated handout photo, issued by Buckingham Palace on December 3, 2022, shows the Imperial State Crown which will be worn by Britain's King Charles on his coronation day on May 6, 2023. The crown, which usually forms part of the Crown Jewels on display at the Tower, has been used since the coronation of King Charles II in 1661 after the monarchy was restored following the 10-year republic of Oliver Cromwell. The St Edward's Crown replaced a medieval version, thought to have dated back to the 11th Century reign of Edward the Confessor which was melted down in 1649. Charles III will be crowned with St Edward's Crown during the solemn ceremony to be held at London's Westminster Abbey on May 6, just as his late mother Queen Elizabeth II was in 1953. The St Edward's Crown, made up of a solid gold frame set with rubies, amethysts, sapphires, garnet, topazes and tourmalines, follows its original medieval forebear in having four crosses-pattée and four fleurs-de-lis.

☆ Crypto meltdown a boon for bankruptcy lawyers
▼ + stars: | 2022-12-02 | by ( Andrew Goudsward | ) www.reuters.com time to read: +5 min

“You’ve got to pay the gravedigger,” said Adam Levitin, a law professor at Georgetown University who specializes in bankruptcy law. Law firm billing rates are normally not public, but in bankruptcy cases lawyers for the debtor company must detail their billings and request a judge's approval for their fees. The lawyers are paid from the assets of a bankruptcy estate, and experts said judges rarely demand significant reductions in professional fees. Lawyers in the crypto cases must deal with a host of issues new to bankruptcy law, including whether digital assets deposited on a platform are owned by the customer or the platform itself, according to bankruptcy law experts. Levitin, a former member of the restructuring department at law firm Weil, Gotshal, & Manges, said such complex questions call for top-shelf lawyers.

☆ FTX Hires Ex-Regulators to Investigate Firm’s Collapse
▼ + stars: | 2022-11-23 | by ( Mengqi Sun | ) www.wsj.com time to read: +5 min

Cryptocurrency exchange FTX, whose recent collapse has led to questions about lacking regulatory oversight, has hired a fitting team to help untangle the mess: former senior U.S. regulators. FTX said this week it has been in contact with investigators, The Wall Street Journal previously reported. FTX, which is based in the Bahamas, also has hired Nardello & Co., an investigations firm that specializes in anti-corruption and fraud cases, Mr. Bromley said in court Tuesday. The name of the cybersecurity company wasn’t disclosed because of concerns over continuing cyberattacks on FTX, he said. The collapse of FTX has set off the largest crypto-related bankruptcy ever, and court filings are already shedding light on what went wrong and how complicated things could get.

☆ Sam Bankman-Fried spent a fortune. Now, lawyers say 'the emperor had no clothes.' Here's where the money went.
▼ + stars: | 2022-11-23 | by ( Lakshmi Varanasi | ) www.businessinsider.com time to read: +3 min

He spent his money on properties, political donations, and funding sports teams. Here's a list of many of the places where Bankman-Fried is reported to have spent his money. Loading Something is loading. A team of lawyers is now working to track down FTX's assets to start repaying the firm's creditors. Here's a list of how he spent some of his once-massive fortune.

☆ FTX lawyer says a substantial amount of crypto assets are missing or stolen
▼ + stars: | 2022-11-23 | by ( Zahra Tayeb | ) www.businessinsider.com time to read: +2 min

A substantial amount of assets tied to FTX are either missing or stolen, a company lawyer said. In a bankruptcy hearing, the lawyer said FTX initiated cyberattack controls in response. "What we have here is a worldwide, international organization, but which was run as a personal fiefdom of Sam Bankman-Fried," Bromley added. Bromley said FTX was in "constant communication" with the US Department of Justice and the cybercrimes unit of the US attorney's office in Manhattan over the missing assets, per The Journal. Meanwhile, Bankman Fried apologised to employees over his failed crypto exchange and the damage it has caused in a Tuesday letter, saying he "didn't mean for anything of this to happen."

☆ I reached 100,000 followers for my small business' Instagram and TikTok accounts in 6 months. Here are the 3 strategies that made all the difference.
▼ + stars: | 2022-11-22 | by ( Erin Greenawald | ) www.businessinsider.com time to read: +7 min

She says she was able to grow its social following so quickly by focusing first on good content. This article is part of "Marketing for Small Business," a series exploring the basics of marketing strategy for SBOs to earn new customers and grow their business. Growing a social following from zero can be intimidating for small businesses, especially when you want to do it quickly. Focus on being a good follow firstHalf of succeeding on social media is playing to the algorithm, and a lot of business owners can get too caught up in that. Courtesy of OfflinePart of being a good account to follow also means striking the right balance between quality and quantity.

☆ FTX suggests Sam Bankman-Fried transferred assets to Bahamas government custody after bankruptcy: Filing
▼ + stars: | 2022-11-17 | by ( Rohan Goswami | ) www.cnbc.com time to read: +2 min

FTX in a bombshell emergency court filing Thursday said evidence suggests Bahamian regulators directed former CEO Sam Bankman-Fried to gain "unauthorized access" to FTX systems to obtain digital assets belonging to the company after it had filed for bankruptcy protection. The filing said that Bankman-Fried transferred those assets to the custody of the Bahamian government. It cites an interview published by Vox on Wednesday where Bankman-Fried expresses serious disdain for regulators. In that motion, FTX said the alleged conduct puts "in serious question" a request by Bahamian regulators for recognition as liquidators in the bankruptcy. The appointment of the JPLs and recognition of the Chapter 15 Case are thus in serious question," the filing continued.

☆ Explainer: What's next in FTX's bankruptcy
▼ + stars: | 2022-11-16 | by ( Dietrich Knauth | ) www.reuters.com time to read: +4 min

Here is what likely awaits in the case:WHERE DO THINGS STAND IN FTX'S BANKRUPTCY CASE? About 130 FTX affiliates have filed for bankruptcy in Delaware, and the company has selected a new CEO, bankruptcy attorneys at Sullivan & Cromwell and financial advisers at Alvarez & Marsal. WHAT OTHER RISKS DO FTX CUSTOMERS FACE? The bankruptcy might result in the publication of FTX customers' names, email addresses and transaction history. The courts' preference for transparency are at odds with crypto customers' expectations of anonymity.

☆ Former top lawyer for Slack, Groupon joins Sullivan & Cromwell
▼ + stars: | 2022-11-14 | by ( Chinekwu Osakwe | Thomson Reuters | Chinekwu Osakwe Covers Legal Industry News With A Focus On Midsize Law Firms. Reach Her At Chinekwu.Osakwe Thomsonreuters.Com. | ) www.reuters.com time to read: +1 min

Law firms Sullivan & Cromwell LLP Follow(Reuters) - Sullivan & Cromwell has hired a former general counsel for Slack Technologies LLC, Groupon Inc and Salesforce.com Inc to join its Palo Alto office, the law firm said Monday. David Schellhase, who left his position at Slack in Aug. 2021 after almost five years, will be part of the firm's general practice group as of counsel. Before his time at Slack, Schellhase spent over a year as chief operating officer for software company Honest Work Corp. Schellhase said in a statement that he is eager to join the New York-founded law firm as the maturing technology industry seeks out legal expertise. Read More:Sullivan & Cromwell leads first-half M&A in slower 2022 for firm dealmakersSullivan & Cromwell antitrust co-head Holley departs for hedge fundOur Standards: The Thomson Reuters Trust Principles.

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