FTX's bankruptcy estate is ready to sell dozens of properties in the Bahamas, including units where both the exchange's staff and former CEO Sam Bankman-Fried used to reside, according to a Tuesday court filing.
A proposed court order filed by FTX attorneys proposes the bankrupt company sell a total of 35 units of FTX-owned real estate in the Bahamas. Most of the FTX staff and all of its C-suite executives worked in the Bahamas until the exchange collapsed in late 2022.
The list of properties attorneys want to sell include the infamous Orchid Penthouse, the luxurious apartment shared by Bankman-Fried and his top lieutenants: Gary Wang, Nishad Singh and Caroline Ellison.
In the court filing, the FTX lawyer said that properties must be sold for at least 80% of the price estimated by the assigned broker and that any sale larger than $5 million should be reported to the U.S. trustee, a counsel to the creditors committee, and anyone who has legal claims against the listed properties.
Sale proceeds
Funds from any sales would be applied to the pool of funds meant to be distributed to FTX customers. After the exchange declared bankruptcy in November 2022, it owed $8.7 billion to its former users.
In December, FTX entities in the U.S. and the Bahamas settled and agreed to pool assets together and coordinate future distributions.
At one point, FTX owned a total of 38 properties in the Bahamas worth $199 million, according to a filing from last year.
Bankman-Fried was found guilty of defrauding FTX customers and investors. His sentencing is scheduled for March.
About Author
Anna is a senior policy reporter at The Block. She has a background in political journalism and covered Russian civil society for a range of news outlets in Moscow, including the award-winning newspaper Novaya Gazeta. Before joining The Block, Anna spent the past five years investigating cryptocurrency policies and adoption around the world at CoinDesk. Anna owns bitcoin and a gift NFT of sentimental value.
