3AC founders whereabouts unknown after filing for bankruptcy. Earlier this July, the former leading crypto hedge fund, Three Arrows Capital (3AC), had filed for a chapter 15 bankruptcy after suffering heavy losses with the possibility of insolvency reported in mid-June.
The Founders Have Fled Singapore
After the bankruptcy news, it was revealed recently within the court filing that the company’s legal team and lawyers claimed that the founders of 3AC seemed to have fled Singapore and that they do not know the whereabouts of the founders, Su Zhu and Kyle Davies.
[DB] 3AC's Founders are "Not Cooperating" With Liquidators, Whereabouts Remain Unknown: Court Filing
— db (@tier10k) July 11, 2022
The court filings describe that 2 people identifying themselves as Su Zhu and Kyle Davies were present in the court zoom call, however both of their videos and mics were turned off throughout the meeting, with neither of them speaking despite being directly asked questions.
The founders are also described to have been ‘uncooperative’ throughout the process, quoting the court filings: “The Founders have not yet begun to cooperate with the Foreign Representatives in any meaningful manner. The Foreign Representatives’ efforts are continuing in earnest but have been frustrated by this lack of cooperation to date.”
Rising Suspicion Against 3AC
From the results of the court filings and the fact that the founders seemed to have fled Singapore and are uncooperative throughout the court process, investors have grown to be more suspicious than ever in believing that 3AC has been an ‘illegitimate operation’ this entire time. At one point, 3AC had also once boasted about having around $10 billion worth of assets under
management, leaving members of the community to believe that the recent bankruptcy filing was a cover up for the founders’ escape plan.