According to a Bloomberg report, co-founder of Three Arrows Capital Su Zhu faced questioning in a Singapore court regarding the collapse of the crypto fund.
The two-day hearing aimed to gather information on the fund’s failure and the location of assets to recover billions for creditors. Zhu was arrested in September and jailed for four months for non-cooperation with the liquidation process, and is set to be released this month.
The liquidators, Teneo, seek $1.3 billion from Zhu and the fund’s other founder, Kyle Davies, as creditors are owed approximately $3.3 billion. The proceedings are a civil matter, and no criminal charges have been filed.
Information from the questioning will be shared with creditors to maximize recoveries. Zhu, previously accused of lack of cooperation, claims their efforts were met with resistance.
Both men received nine-year prohibition orders from Singapore’s central bank in mid-September due to risk management failings and false information provided by Three Arrows.
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