The Justice Department and some BlockFi Inc. account holders objected to the crypto company’s plan to wind down in bankruptcy, taking issue with provisions that would shield company insiders from future lawsuits.
BlockFi’s Chapter 11 liquidation plan contains unnecessary and improper provisions that would release former directors and officers from legal liabilities related to the company’s collapse, certain BlockFi customers said in objections Monday to the US Bankruptcy Court for the District of New Jersey. The objecting customers held interest earning accounts on the failed digital currency platform.
The plan, which will be considered for court approval later this month, ...
Learn more about Bloomberg Law or Log In to keep reading:
See Breaking News in Context
Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.
Already a subscriber?
Log in to keep reading or access research tools and resources.