Sam Bankman-Fried Accuses Lawyers of Taking Over FTX and Falsifying Bankruptcy
Date: 2025-11-03 Author: Oliver Abernathy Categories: BUSINESS
According to Bankman-Fried, FTX and Alameda Research remained solvent at the time of their bankruptcy filing in November 2022. The document claims the company's total asset value was $14.6 billion, which, in his opinion, was more than enough to cover all liabilities to users.
SBF stated that clients had already been repaid between 119% and 143% of their deposits, and 98% of users had received an average of 120% compensation. It emphasized that despite paying $8 billion in claims and $1 billion in legal fees, the company still had significant funds remaining.
Bankman-Fried calls November 2022 a "liquidity crisis," which, he claims, could have been overcome had management not been removed. He claims that FTX had already begun refunding clients' funds at that time and was earning up to $3 million daily in fees. SBF also asserts that, had control of the company remained intact, its value today could have reached $136 billion thanks to investments in Anthropic and other assets.
Bankman-Fried blames lawyers from Sullivan & Cromwell for FTX's collapse. The document claims they received "generous incentives" to file for bankruptcy and then paid themselves fees from company funds. It alleges that the lawyers provided the court with internal data, sold assets at undervalued prices, and disseminated false information, resulting in approximately $120 billion in losses to clients and shareholders.
"FTX could have fully repaid its users as early as 2022. The real reason for the company's devaluation was the actions of external managers, not a lack of funds," the document states.
These statements emerged amid rumors of a possible pardon for Bankman-Fried. Back in February 2025, he expressed hope for a pardon from US President Donald Trump, and media outlets later reported that his entourage was actively lobbying for this decision.
However, the community reacted skeptically to the publication. Crypto analyst ZachXBT claimed that SBF is trying to take advantage of the rising asset prices to shift responsibility to the bankruptcy team: "You're just repeating old misinformation instead of admitting your own mistakes."
