Source: blockchain.news
As part of cryptocurrency exchange FTX’s ongoing Chapter 11 bankruptcy proceedings, a group of FTX customers based outside of the United States are seeking to have their names and other private information erased from any court records that may be made public.
In a joint filing filed on December 28, FTX.com’s Non-US Customer Ad Hoc Committee (Ad Hoc Committee) emphasized that making customer names and private information publicly available carries the potential risk of data theft. identity, targeted attacks and other types of injuries.
The fact that there are 15 people listed as part of the organization, either individually or in a representative capacity, gives the impression that many more people are involved.
The Ad Hoc Committee claims that it represents individuals and organizations that have assets locked up on FTX.com with a total value of nearly $1.9 billion.
A joinder is a specific type of legal filing that occurs when many lawsuits are combined into a single proceeding or when an additional party is attached to an existing filing.
In this particular case, the Ad Hoc Committee is supporting the Debtors’ Motion for the Entry of Provisional and Final Orders, which, among other things, seeks to withhold personal customer information. The Ad Hoc Committee supports this motion.
The United States Trustee had previously opposed the initial motion on December 12, arguing that keeping the information private could threaten the transparency of FTX’s Chapter 11 bankruptcy process and that the public had a general right of access to the court records. However, the US Trustee has since withdrawn his objection.
As reported by a Wall Street Journal writer named Andrew Scurria on December 29, bankruptcy courts often require transparency in the affairs of troubled companies, including those of their creditors, in exchange for Chapter 11 protections.
Much to the chagrin of the cryptocurrency community, a situation rather similar to this took place earlier during Celsius’ Chapter 11 bankruptcy in October, when court documents revealed private information of thousands of Celsius customers.
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