Genesis judge rejects FTX offer to participate in confidential mediation meetings: report

Genesis judge rejects FTX offer to participate in confidential mediation meetings: report

A judge decided that FTX could not take part in confidential mediation meetings between the bankruptcy crypto creditor Genesis Global Holdco and his parent company Digital Currency Group (DCG).

In the following days, Genesis denied that ftx to owe anything.

• According to the Bloomberg report, the US bankruptcy judge Sean Lane refused to accept comparative negotiations with the crypto exchange founded by SBF, which claims that Genesis owes its 3.9 billion US dollar.
• in a judgment of June 5, Lane explained:

"There will be a certain radio silence because the mediation needs it to work." A shortening of the mediation does not shorten the case. ”

• Genesis and DCG, on the other hand, was granted a period of 100 days in order to agree a revised payment proposal, which essentially would support the bankruptcy plan according to Chapter 11 to compensate hundreds of thousands of genesis believers.
• With this step, the judge rejected the objections of FTX and several Genesis customers who had requested the judge by email to terminate the comparison talks and order withdrawals to the creditors.
• Some creditors also complained about the exclusion of mediation talks.
• In May, FTX called for $ 4 billion from the bankruptcy crypto loan-part of the efforts to regain the value for creditors. A month later, Gensis submitted an application for cost estimate, in which it was said that FTX was entitled to claims of a total of $ 0.00.
• FTX debtor later appealed to the zero requirement estimate and said in a court file that they were by far the "greatest unsafe-to-secure creditors" in the Genesis DeBtors chapter 11 cases, and added that it was "decisive that they take part in mediation".

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