3AC liquidators seek to increase claim against FTX from $120 million to $1.53 billion

According to ChainCatcher, the liquidator of Three Arrows Capital (3AC) is trying to amend its claim against FTX, increasing its claim amount from US$120 million to US$1.53 billion.

3AC’s liquidators claim that two weeks before the hedge fund collapsed, FTX liquidated and seized their assets on the platform to settle a $1.33 billion debt. The hedge fund claims that these transactions were “avoidable and unfair” and caused damage to 3AC creditors. 3AC believes that the liquidation should be invalidated, accusing FTX of undervaluing transactions and breaching trust and contracts.

The bankrupt hedge fund also claimed that FTX delayed providing necessary information, forcing 3AC to parse raw data to calculate losses. As a result, 3AC said it could only confirm the liquidation amount in August. However, FTX responded that an unnamed individual associated with 3AC initiated the liquidation of assets. FTX has not yet identified this person. The court will hold a hearing on November 20 to discuss 3AC's motion to amend its claims.