3AC Liquidators Recognized by Singapore High Court
The liquidators of Three Arrows Capital Ltd. have been provided a critical court order in Singapore. It will enable them to review the native assets of the invalid hedge fund of cryptocurrency, as reported by Bloomberg while referring to the people acquainted with the issue. On Monday, the High Court of Singapore approved the request filed on the behalf of Teneo (a liquidator appointed by Three Arrows Capital). This signifies that the court at the moment legally authorizes the liquidation order which was firstly filed in the British Virgin Islands.
3AC Liquidators Permitted by the Court to Examine the Crashed Hedge Fund
With the respective recognition, Teneo is at liberty to request the entirety of the financial records kept locally, taking into account the bank accounts, stakes in properties and firms, as well as cryptocurrencies, the report added. Su Zhu, the co-founder of Three Arrows Capital was reportedly endeavoring to trade one of his Singaporean homes for $35M. The event of the hedge fund’s decline was included in the broader downfall that prevailed across the whole crypto industry after that.
In May, TerraUSD (UST) – an algorithmic stablecoin – crashed simultaneous to the LUNA ecosystem, 3AC also had exposure to the respective ecosystem and this incident was categorized by Su Zhu as “humbling”. Following the collapse of Terra, crypto lenders such as Voyager Digital and Celsius Network submitted their bankruptcy applications whereas many firms were compelled to stop withdrawals due to the liquidity crisis that engulfed the entirety crypto market.
Teneo is Allowed to Probe into 3AC’s Stakes, NFTs, Crypto, and accounts
Teneo has gathered control over nearly $40M of the assets of Three Arrows Capital thus far, representing a small percentage of the creditor claims of approximately $2.8B, as per a court filing that was published in the recent July. Three Arrows Capital’s founders spoke out just after the release of the court filing and the collapse was labeled by Kyle Davies and Su Zhu as regrettable.
The ruling of the Singapore court has been witnessed after the filing of 3AC for bankruptcy in the United States in July. Just after the submission, Teneo mentioned in its court documents that Davies and Zhu had not provided any collaboration on the respective procedure. Almost at the same time, it was posted on the behalf of Zhu on his official account on Twitter that a spreadsheet had been shared by the fund’s founders with the liquidators.
