Summary:
- Three Arrows Capital liquidator Teneo Restructuring has hired WongPartnership LLP to handle petition efforts in Singapore.
- The move is geared toward securing approval from a Singapore High Court to preserve 3AC assets on behalf of creditors.
- Teneo’s petition could also target a subpoena for Three Arrows Capital founder Su Zhu and Kyle Davis.
- Liquidators might seek to prove that mismanagement of funds by co-founders contributed to the crypto hedge funds’ tumble.
- A British Virgin Islands court recently issued a liquidation order against 3AC.
- Su Zhu broke silence days ago and said that liquidators were baiting the firm.
Teneo Restructuring has hired a local law firm to engage a Singapore High Court regarding and petition authorities to recognize the liquidation order issued by a British Virgin Islands court as the firm hopes to secure assets held by Three Arrows Capital in Singapore, per a Friday report from The Strait Times.
According to the publication, WongPartnership LLP will represent Teneo in Singapore in a bid to convince the High Court to align with the order served in the BVI. As EthereumWorldNews reported, a BVI court ordered the beleaguered crypto hedge fund to undergo liquidation. The notice also placed financial advisory firm Teneo Restructuring in charge of the process.
A successful petition means that Teneo would gain the legal right to secure Three Arrows Capital assets in Singapore on behalf of creditors and liquidators. One of these assets could be a $35 million property that co-founder Su Zhu is supposedly trying to sell off.
Another section of Teneo’s petition could directly target Three Arrows Capital co-founders Su Zhu and Kyle Davis. The report explained that lawyers might seek to determine if the mismanagement of funds by these top officials contributed to the collapse of 3AC.
A subpoena could follow if this inquiry proves that the co-founder played an active role in the firm’s tumble, per the report.
Three Arrows Capital’s Su Zhu Accused Liquidators Of “Baiting”
The troubled crypto hedge fund has made headlines following the collapse of Terra’s tokens. Not only has 3AC faced multiple liquidations on crypto exchanges and from a court, but the firm also defaulted on its massive $650 million loan repayment to Voyager Digital.
While Su Zhu claimed that the firm was working to find a solution, the co-founder was also silent for almost a month. Recently, EWN reported that Zhu broke silence and published a tweet, calling out liquidators for “baiting” instead of working with the company to find solutions.