TechFlow News, March 26: According to Cointelegraph, Bitcoin financial services company Swan Bitcoin filed an ex parte application on Monday with the U.S. District Court for the Southern District of New York, seeking subpoenas against Cantor Fitzgerald and its former CEO Howard Lutnick to obtain critical documents related to their failed mining joint venture.
In September 2024, Swan Bitcoin sued multiple former employees, accusing them of collectively resigning after stealing confidential documents and subsequently founding competing firm Proton Management. Swan alleges these former employees persuaded Tether to terminate its partnership with Swan and instead support the new company. Swan refers to this scheme internally as the “Rain and Hellfire” plan, primarily orchestrated by former Head of Business Development Michael Holmes and former Chief Investment Officer Raphael Zagury.
Swan believes Cantor Fitzgerald—serving as Tether’s investment banking advisor—may possess key documents concerning the sale of assets from Swan’s mining joint venture, 2040 Energy, to a Tether subsidiary at a discounted price.
