Bankman-Fried is not the only personnel that has staked a claim to the Robinhood stock; BlockFi, a now-defunct crypto lender; FTX; and liquidators in Antigua are among them.
The government is reportedly also collecting assets from bank accounts as part of a bankruptcy case involving a branch of the FTX empire in the Bahamas, according to the lawyer overseeing the main FTX insolvency procedure in the U.S.
Furthermore, court documents submitted on January 4 revealed that an FTX subsidiary had $93 million at Silvergate Capital Corp., a crypto-focused California bank that had been ordered confiscated by a New York federal magistrate earlier this month.
In addition to Bankman-Fried, several banks and crypto firms have laid claim to the Robinhood stock, including BlockFi, a now-bankrupt crypto lender; FTX; and liquidators in Antigua. Sam Bankman-Fried argued that he should still have control over the Robinhood shares he owns because a different corporation properly acquired them.
The infamous former FTX CEO Sam Bankman-Fried, who wanted access to the stock to help pay his legal costs, had $465 million in shares of the stock trading app Robinhood that were seized by the U.S. Department of Justice (DOJ) on Monday.
U.S. Attorney Seth Shapiro claims that the DOJ didn’t think the 56 million shares of Robinhood, valued at around $465 million, belonged to the bankruptcy estate of FTX. Shapiro claimed that forfeiture proceedings may be used to settle conflicting claims to shares of the stock-trading app.
Some of FTX’s creditors have filed legal claims in an effort to seize control of the assets. The ownership of the shares and assets seized from bank accounts linked to FTX and its former executives will eventually be decided in a judicial proceeding.