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FTX bankruptcy judge denies US trustee’s motion to appoint independent examiner

Published 02/15/2023, 10:34 AM
Updated 02/15/2023, 12:20 PM

Judge John Dorsey of the United States Bankruptcy Court for the District of Delaware has denied a motion appointing an independent examiner for FTX.

In a Feb. 15 hearing, Judge Dorsey said he had some discretion under the law to choose whether to appoint an examiner in the FTX bankruptcy case despite some of the parties meeting the debt threshold with the loss of funds. According to the judge, appointing an examiner would be an “unnecessary burden” on FTX’s debtors and creditors, citing the additional expense.

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