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FTX Gets Court Approval to Hire Bankruptcy Lawyers

On Friday a United States judge officially signed off on FTX’s choice of legal advisers as the defunct crypto company pursues bankruptcy avenues following the collapse that shook the crypto industry to it’s core in late 2022, according to Reuters.

The U.S. Trustee, along with tow of FTX’s creditors, had asked U.S. Bankruptcy Judge John Dorsey in Wilmington, Delaware not to approve FTX hiring Sullivan & Cromwell, making the argument that the New York law firm had not disclosed sufficient information about its past ties to FTX, per the report.

The U.S. Trustee and a Sullivan & Cromwell lawyer representing FTX told Dorsey at a hearing on Friday that the firm and the exchange provided the Justice Department additional disclosures about the firm’s pre-bankruptcy work, and that seemed to satisfy any concerns the department had.

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