A class action complaint has been filed against Fenwick & West, LLP (“Fenwick”), a prominent law firm, in the United States District Court, Northern District of California, San Francisco Division, on August 7, 2023. The complaint alleges Fenwick’s involvement in the FTX disaster, described as “the largest financial fraud in US history.”
FTX Disaster Unveiled
The complaint outlines two major schemes allegedly perpetrated by Samuel Bankman-Fried (SBF), FTX Group’s founder, and the FTX Group. The first scheme involved stealing customer deposits and using billions of dollars in customer funds for various purposes, including “to support the operations and investments of FTX and Alameda, to fund speculative venture investments, to make charitable and political contributions, and to personally enrich SBF himself” (Page 2). The second scheme accused the FTX Group of offering and selling securities without proper registration, thereby…
