Daniel Friedberg, a former chief lawyer for FTX, has accused the company’s U.S. general counsel of channeling business to Sullivan & Cromwell (S&C), the firm currently serving as FTX’s bankruptcy counsel.
In a court filing, Friedberg alleges that FTX US lead counsel Ryne Miller, a former partner at S&C, directed business towards his former law firm across multiple cases.
Friedberg claims that he reminded Miller that his allegiance should be to the debtor, not S&C, but the issue persisted throughout Miller’s tenure at FTX.
Friedberg also accuses Miller of earmarking $200 million of LedgerX funds for S&C to pay its legal fees.
A hearing is scheduled to occur on Jan. 20 to decide whether FTX will be able to retain S&C as its lead counsel.
