Judge refuses to consolidate class action suits against FTX

A national justice has refused to consolidate a fig of projected class-action lawsuits against the FTX speech by investors. According to the judge, the speech and its defendants person not yet been heard connected the matter. 

Excerpt from the bid denying the question to consolidate. Source: Law360

On March 8, United States District Judge Jacqueline Scott Corley laid down the bid that denied a petition from plaintiffs to consolidate a full of 5 projected people enactment lawsuits against the bankrupt crypto exchange. Despite nary defendants opposing the motion, the justice pointed retired that not each defendants had the accidental to respond yet. The bid wrote: 

“While Plaintiffs authorities that nary Defendant has filed an opposition, they connection nary declaration attesting that they person met and conferred with Defendants and that they bash not reason consolidation.”

Plaintiffs including Julie Papadakis, Michael Elliott Jessup, Stephen T. Pierce, Elliott Lam and Russell Hawkins accused the erstwhile FTX CEO Sam Bankman-Fried and different executives of misappropriating their assets, filing their cases successful the Northern District of California. While each of the plaintiffs are going aft Bankman-Fried, the cases besides includes assorted different defendants, including extracurricular auditors and those that promoted the exchange.

Because of this, the justice besides pointed retired there’s nary request to consolidate earlier proceeding retired the defendants’ side. “The Court discerns nary request to bash truthful present without giving Defendants the accidental to beryllium heard. And it would beryllium premature to name interim people counsel earlier consolidation,” the bid wrote.

Related: DOJ seeks to constrictive Sam Bankman-Fried’s bail terms, usage lone flip phones

Meanwhile, Bankman-Fried’s lawyers person precocious signaled that determination mightiness beryllium a request to push backmost the transgression proceedings scheduled successful October. In a missive dated March 8, lawyers representing Bankman-Fried said that portion they're not formally requesting a alteration of date, it whitethorn beryllium indispensable arsenic they're waiting for a important chunk of grounds to beryllium sent implicit to them. In addition, the lawyers noted that much charges were filed against Bankman-Fried successful February.