TechFlow news — On November 8, according to CryptoSlate, FTX, currently undergoing bankruptcy restructuring, has filed a lawsuit seeking to recover at least $11.4 million from Crypto.com. The funds are allegedly held in a Crypto.com account linked to Alameda Research, a sister company of FTX.
The court documents indicate that the account was registered under the name of Ka Yu Tin (also known as Nicole Tin), an employee of Alameda. FTX stated that this practice was common for Alameda to conceal its trading activities. FTX claims that Alameda effectively controlled and funded the account.
FTX noted that despite multiple attempts and providing court-approved documentation, Crypto.com refused access requests, citing a mismatch between the account holder's name and the claimant. To strengthen its legal position, FTX submitted a sworn testimony from former Alameda CEO Caroline Ellison confirming that these accounts indeed belonged to Alameda.
FTX disclosed that Crypto.com affiliates Foris MT and Iron Block have also filed claims totaling approximately $18.64 million in the bankruptcy proceedings. In light of this, FTX is requesting the court to postpone consideration of Crypto.com’s claims until it returns Alameda’s assets.
