Ex-FTX Legal Counselors Aim to Quash Lawsuit, Affirming Ignorance of Fraud

Former legal advisors to FTX have submitted a motion to dismiss a lawsuit accusing them of involvement in the fraud that led to the collapse of the cryptocurrency exchange. The attorneys contend they were unaware of any fraudulent activities perpetrated by Sam Bankman-Fried and other FTX executives. They assert that their role was restricted to offering legal counsel on various matters, and they lacked control over the company’s business operations or financial decisions. The lawsuit alleges that the legal counselors were negligent and breached their fiduciary duties, thus contributing to the losses incurred by FTX investors. The lawyers refute these claims, maintaining that they always acted with integrity and in good faith, and that they did not knowingly offer any advice that would facilitate fraud. This case is part of a series of lawsuits filed against individuals and entities purportedly involved in FTX’s downfall. The case is expected to be protracted and involve complex legal battles, as both sides seek to substantiate their arguments.