Business In News
- Lawyers for Three Arrows Capital (3AC) said Davies and co-founder Su Zhu ignored the court subpoena served on Twitter in January while remaining active on social media.
- Davies and Zhu have been AWOL since 3AC went bust in 2022 following the fall of Terra, the blockchain network for TerraLuna and TerraUSD.
- The co-founders are reportedly seeking to raise $25 million in funding for a new crypto venture dubbed GTX.
Attorneys from Russel Crumler and Christoper Farmer told a New York court on Tuesday that Three Arrows Capital (3AC) co-founder Kyle Davies and Su Zhu ignored the court subpoenas issued on January 5, per a CoinDesk report.
The 3AC bosses were served on Twitter as court officials and law enforcement remain unsure of their whereabouts. Zhu disclosed to Bloomberg that the pair were en route to the United Arab Emirates while other reports claim that Davies fled to Indonesia to avoid U.S. extradition.
Russel Crumler and Christoper Farmer represent the bankrupt crypto hedge fund following its collapse in 2022. These lawyers filed documents on Tuesday that said both Davies and Zhu have refused to cooperate with legal summons in line with their duties to 3AC.
“no compliance whatsoever”, attorneys told the court while referring to the Davies and his co-founder Zhu. The filings added that both 3AC execs shunned legal proceedings while chasing other crypto business endeavors.
All the while, Mr. Davies has continued to post on his Twitter account, openly ignoring the Court’s directives and enjoying media attention while he continues to thwart efforts by the Foreign Representatives to gain access to documents and information.
3AC’ Davies And Zhu Push GTX Venture To Replace FTX
A leaked pitch deck revealed that Davies and Zhu were working on raising seed funding for a new crypto venture – GTX. The crypto exchange would supposedly replace FTX and feature a $20 billion crypto claims market. GTX would, in theory, allow users to buy and sell claims from bankrupt crypto companies like BlockFi, FTX, and Mt. Gox to name a few.
The GTX founding team also included CoinFLEX execs Mark Lamb and Sudgu Arumugam. Zhu confirmed that his team was “just busy building it”, according to WuBlockchain.