CoinVoice has recently learned that, according to a report by CryptoSlate, bankruptcy FTX has filed a lawsuit seeking to recover at least $11 million from the Crypto.com account associated with its sister company Alameda Research, as indicated in a document dated November 8.
FTX claims that before filing for bankruptcy, Alameda registered an account on Crypto.com under the name Ka Yu Tin (also known as Nicole Tin). According to the company, this practice is common in Alameda, which frequently opens accounts in the name of shell companies or employees to conceal its trading activities. However, FTX asserts that Alameda funded and controlled the account.
It has been reported that after Alameda announced bankruptcy, Crypto.com locked the account and denied FTX administrators' requests for access to the funds, despite their multiple attempts. FTX further claims that Crypto.com's refusal was based on the mismatch between the account holder's name and the name of the person seeking to recover the funds. FTX asserts that it has clarified the complexity of the case to Crypto.com and provided court-approved documents, but it has reportedly received no response from Crypto.com.
FTX administrators are currently attempting to assert claims against the parent company entities of Crypto.com, Foris MT and Iron Block. These companies have made claims against FTX for $18.4 million and $237,800, which were held in FTX.com accounts prior to the exchange's collapse.
In light of this, FTX requests to delay processing Crypto.com's claims until the exchange releases the Alameda assets in its possession. FTX also seeks to recover assets, legal fees, and other forms of relief. [Original link]
