Adam Davies, the co-founder of the now-bankrupt Singaporean hedge fund Three Arrows Capital (3AC), continues to stir controversy following the fund’s collapse. In a recent episode of the Unchained podcast on March 19, Davies reiterated his lack of remorse for his involvement in the collapse, which has left the fund facing $3.3 billion in creditors’ claims.
Davies, a Singaporean national, defiantly stated, “Am I sorry for a company going bankrupt? No. Like, companies go bankrupt all the time.” Despite facing a Singaporean arrest warrant for contempt of court, Davies has made it clear that he has no intention of returning to the city-state to face jail time. He claims to be “bouncing around between Europe and Asia,” evading legal repercussions.
Failed ventures mark troubled history
Davies’ entrepreneurial ventures following his tenure at 3AC have met a similar fate. Despite launching 3AC Ventures and OPNX, a derivatives exchange, with fellow co-founder Su Zhu, both ventures have faltered. 3AC Ventures, established last year, appears to have gone offline entirely, while OPNX, founded in April 2023, was shut down earlier this year. The demise of these ventures adds to Davies’ troubled history following the collapse of 3AC.
Notably, Davies did not mention his infamous Dubai chicken restaurant in his recent statements. The restaurant, located in the Middle East, had garnered attention for its association with Davies. However, amidst the ongoing controversy surrounding 3AC and its fallout, Davies’ focus seems elsewhere, with no indication of any plans to return to the Middle East.
Legal troubles and evasion tactics raise concerns
The Singaporean authorities have issued an arrest warrant for Davies on charges of contempt of court. Despite this, Davies has evaded returning to Singapore, opting to travel between Europe and Asia instead. His refusal to face legal consequences in Singapore raises questions about accountability and justice in the financial sector.
Davies’ unapologetic stance regarding the bankruptcy of 3AC has sparked outrage among investors and observers alike. His dismissive attitude towards the significant financial losses creditors incur reflects a lack of accountability. Many are calling for greater regulation and oversight to prevent similar incidents.
Concerns mount over regulatory oversight
The collapse of 3AC and the subsequent fallout highlight broader concerns about regulatory oversight in the hedge fund industry. The ease with which individuals like Davies can evade accountability raises questions about the effectiveness of current regulatory measures. There is growing pressure on regulatory bodies to implement stricter guidelines to prevent similar incidents from occurring in the future.
Adam Davies’ refusal to accept responsibility for the collapse of Three Arrows Capital and his evasion of legal consequences have ignited controversy and raised concerns about accountability in the financial sector. As investigations continue and legal proceedings unfold, stakeholders call for greater transparency and regulatory oversight to prevent similar incidents from occurring.