FTX buyer Nikolas Gierczyk accuses Olympus Peak of underpaying him after shopping for his FTX chapter declare value $1.59 million, alleging the hedge fund owes him way more in further restoration.
In keeping with a Bloomberg report on Oct. 11, Californian Nikolas Gierczyk is suing hedge fund Olympus Peak for not honoring his proper to further restoration.
He claims that the hedge fund owes him way more than $1 million from their deal, as collectors stand to achieve round 129% to 146% from the FTX chapter payout plan.
Gierczyk said that he and Olympus Peak settled on a purchase order settlement when the hedge fund purchased the chapter declare at a “substantial 42% low cost,” as he was promised any extra distribution from the chapter.
“Nonetheless, Olympus Peak made clear that they might not be fulfilling their finish of the discount,” Gierczyk’s legal professionals wrote in a criticism filed to the federal court docket in Manhattan on Oct. 10.
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Olympus Peak is a hedge fund primarily based in Greenwich, Connecticut. It has not responded to Bloomberg’s request for remark on the time of writing.
On Oct. 7, a Delaware chapter decide accredited FTX’s reorganization plan almost two years after the crypto trade’s collapse in November 2022.
In keeping with a press release, the crypto trade firm claims it has amassed between $14.7 billion and $16.5 billion value in property distribution. An quantity that surpasses FTX’s earlier estimation of what it owes collectors, which is round $11.2 billion.
“Trying forward, we’re poised to return 100% of chapter declare quantities plus curiosity for non-governmental collectors by way of what would be the largest and most complicated chapter property asset distribution in historical past,” mentioned John Ray, who took over as FTX CEO after the corporate filed for chapter.
In keeping with the plan accredited by Delaware chapter Choose John Dorsey, 98% of FTX’s collectors will acquire 118% of their declare as of November 2022, when the trade filed for chapter safety. This massive payout is made potential as a result of bullish nature of the crypto market up to now two years.
Learn extra: FTX money compensation plan accredited by chapter decide
