Three Arrows Capital founders seem to be missing after crypto hedge fund’s bankruptcy
The founders of crypto hedge fund Three Arrows Capital (3AC) appear to have gone missing following the company’s bankruptcy.
Lawyers representing the collapsed company’s creditors claimed that founders Zhu Su’s and Kyle Davies’ physical whereabouts were unknown ahead of a court hearing scheduled for today, according to court documents filed on Friday, CNBC reported.
The two have also not been cooperating with the liquidation process “in any meaningful manner,” the documents claimed. The two had been present at a video call last week to talk about steps to preserve their assets, but neither turned on their video or mic.
Immediate access to 3AC’s offices was also requested by parties facilitating the liquidation but was not granted. The fund’s office in Singapore appeared “vacant” when liquidators went there to meet with Su and Davies last month.
Creditors asked the court to suspend 3AC’s right to transfer or dispose of their assets in the filing.
Russell Crumpler, responsible for assisting with facilitating the bankruptcy said in a sworn statement there was a “real risk” of 3AC’s assets disappearing without “immediate authority to pursue discovery,” CNBC said.
“That risk is heightened because a substantial portion of the Debtor’s assets are comprised of cash and digital assets, such as cryptocurrencies and non-fungible tokens, that are readily transferrable,” he said.
3AC fell into liquidation last month as the sharp crash in crypto markets sent cryptocurrency prices tumbling and hit the hedge fund hard.