The cryptographic lender Genesis and his subsidiaries filed two demands against his parent company, Digital Currency Group (DCG), the CEO of DCG, Barry Silbert, and other executives, who seek to recover what he called fraudulent transfers of cryptography worth bills of dollars.
In total, Genesis and their creditors seek $ 3.2 billion in the two demands. He is looking to recover $ 2.2 billion in a lawsuit filed at the Ministry of Foreign Affairs of the State of Delaware and more than $ 1 billion in a claim in the bankruptcy court of the Southern District of New York.
The presentation of New York says that the money retired from Genesis to pay DCG, Silbert, the affiliates and other experts in the year that led to the presentation of Genesis to Chapter 11 despite the fact that the company was insolvent.
“They knew through their close relationship with Genesis that their business was on the verge of collapse” and took the opportunity to withdraw all their assets and recover 100% of cryptographic loans and dollars made to the platform, while the members of the public were “held in the dark,” the demand alleges.
Genesis suspended retreats in November 2022 and entered bankruptcy the following year.
“Silbert and his cronies operated recklessly, exploded and then in the bankruptcy of Genesis after a spectacular fraud and self -care campaign,” says the presentation of Delaware.
Its creditors are still short of $ 2.2 billion in cryptography assets, including Bitcoin.
Ether and other chips, the presentation said.
Together with the search for a damage award, Genesis wants equitable confidence about any asset that “the defendants took or incorrectly converted during their mandate as managers, officers, directors,” said the presentation.
“These unfounded demands recycle the same two -year tired claims in an opportunistic attempt of sophisticated investors to extract additional DCG value,” said a company spokesman. “We work in good faith with a wide range of interested parties to try to achieve a comprehensive resolution of the aspects related to DCG of the bankruptcy of Genesis. We will defend ourselves vigorously against these spurious statements.”
