A Voyager creditor — Michelle D. DiVita — filed a movement to nominate a Chapter 11 trustee within the Voyager Digital Holdings, Inc., et al. chapter case, in keeping with court docket filings.
In DiVita’s preliminary assertion, she acknowledged the debtors have a “historical past of monetary assertion inaccuracies and public misrepresentations.”
“Regardless of its pre-petition conduct, no celebration requested an appointment of an unbiased examiner. As such, Debtors self-appointed a committee for its investigation.”
Collectors are “caught with dollarized claims bearing the brunt of the market downsides and capped on the upside,” DiVita acknowledged.
“ of unsecured collectors have been […] eroded underneath Debtors continued administration and a trustee is essentially the most cost-efficient strategy to convey this case to an equitable finish.
FTX, Alameda failed transaction
The debtors’ new plan proposed “the identical broad-releasing releases” — regardless of the earlier plan which result in collectors shedding $100 million as a result of failed FTX/Alameda transaction, in keeping with DiVita’s preliminary assertion.
“The failed plan gave a state company sufficient time to seek out the idea for 3 (3) claims for securities fraud totaling $40 billion every.”
Regardless of the $40 billion in securities fraud claims, “the Official Committee of Unsecured Collectors Committee continues to help the plan,” DiVita acknowledged.
The 3AC mortgage
The Grasp Mortgage Settlement dated March 4, 2022 between Voyager Digital, LLC and Three Arrows Capital Ltd. (3AC) is central to the Voyager chapter, in keeping with the submitting.
“With the 3AC Mortgage within the highlight, investigative findings additionally centered on the 3AC Mortgage. The Debtor-appointed Particular Committee solely discovered insider culpability arising from the 3AC Mortgage.”
Previous to discussions with 3AC, on Jan. 7, 2022, debtors modified the Buyer Settlement “to shift the chance of its lending exercise immediately prospects,” in keeping with the submitting.
“The change eliminated any independence or controls between the Debtors’ lending exercise (and ensuing borrower threat) from buyer’s cryptocurrency deposits.”
