Binance founder Changpeng Zhao seeks dismissal of $1.8B FTX lawsuit
Changpeng Zhao has asked a court to dismiss FTX’s $1.8 billion lawsuit over a share buyback deal the bankrupt exchange claims was funded with misused assets.
Former Binance CEO Changpeng Zhao asked the court to dismiss a lawsuit by FTX that seeks to recover almost $1.8 billion from a deal between Binance and FTX, which the defunct exchange claims was fraudulently transferred.
Zhao told a Delaware bankruptcy court that the suit looks to “nonsensically blame” him for the actions of Sam Bankman-Fried, FTX’s founder, who was jailed for 25 years after a high-profile fraud trial.
Zhao, a resident of the United Arab Emirates, argued that the suit’s claims “are so far removed” from the US that “the statutes at issue, which lack extraterritorial application, do not even apply.”