- Liquidators of Three Arrows Capital have demanded key documents from the firm’s founders.
- The subpoena was delivered over Twitter through the liquidator’s official Twitter handle.
- The liquidators have alleged that both Su Zhu and Kyle Davies have not been cooperating.
- The founders have been vocal on Twitter about their firm’s relationship with FTX and the Digital Currency Group.
In a strange turn of events, the liquidators of Three Arrows Capital (3AC) have resorted to a rather unconventional avenue to subpoena the founders of the defunct crypto hedge fund. Teneo, the advisory firm appointed by a British Virgin Islands court to oversee 3AC’s liquidation, has delivered a subpoena to Kyle Davies and Su Zhu over Twitter.
Liquidators demand information from Three Arrows Capital founders
The Twitter handle named 3ACLiquidation, which is the official account for the court-appointed joint liquidators of the defunct crypto hedge fund, tweeted the subpoena earlier today. The subpoena requires 3AC founders Kyle Davies and Su Zhu to turn over sensitive documents related to the downfall of Three Arrows Capital.
Per a report by Bloomberg, Teneo is diligently advancing the liquidation process for 3AC. “The founders have unfortunately resisted cooperating in these efforts, and as such, we have received authority from courts in both the US and Singapore to serve them targeted and comprehensive discovery demands through email and their frequently-used Twitter accounts”, a spokesperson for Teneo stated.
The liquidators are seeking key information related to Three Arrows Capital’s liquidation process, including account information, private keys for the crypto hedge fund’s digital and fiat assets, details pertaining to securities and unregistered shares, seed phrases, and information on accounts held on centralized as well as decentralized exchanges.
Both founders have been active on Twitter over the past few months. The bulk of their content focuses on blaming other firms for the downfall of The Arrows Capital. Earlier this week, Su Zhu took to social media to blame the Digital Currency Group for conspiring with bankrupt crypto exchange FTX to launch an attack against LUNA and stETH. In November 2022, Kyle Davies alleged that Alameda Research, Sam Bankman-Fried’s quantitative trading firm, had “hunted” 3AC’s positions before Terra’s collapse.
Teneo has been trying to deliver subpoenas to Three Arrows Capital’s founders since as early as October 2022. The firm had asked a U.S. judge for permission to serve both the founders with subpoenas through their Twitter accounts as well as their email addresses. The liquidators resorted to this measure following futile attempts to serve said subpoenas through conventional methods.