FTX US Depositor Class Action
What is the FTX US Depositor Class Action?
The Hoda Law Firm is currently the lead counsel to a putative class of depositors who lost their money in the collapse of FTX US. The case is Pierce v. Bankman-Fried, et al., Case No. 22-07444 (N.D. Cal.).
What are the claims in the case?
The Pierce lawsuit alleges that Sam Bankman-Fried, Caroline Ellison, Nishad Singh, and Gary Wang conducted a racketeering enterprise in violation of the Racketeering Influenced and Corrupt Organizations Act ("RICO").
The Pierce lawsuit further alleges that two auditing firms -- Armanino, LLP and Prager Metis CPAs, LLC -- conspired with the FTX companies and thus also violated the RICO Act.
Is the Pierce case a class action? What does that mean?
Yes, the Pierce case is a class action. That means that the individual plaintiff (i.e., the person who initiated the lawsuit) will be asking the Judge to allow him to represent the entire group of people who, like him, were allegedly harmed by the defendants' conduct.
The Pierce case has not reached the "class certification" stage, so it remains to be seen whether the Judge will allow the case to proceed as a class action.
How long has the Pierce case been pending?
The Hoda Law Firm filed the Pierce case on behalf of our client and the putative class on November 23, 2022. A number of other FTX-related class actions have been filed since and a motion was filed to transfer all cases into multi-district litigation. The briefing on the multi-district litigation transfer motion is now complete, and the Judicial Panel on Multi-District Litigation will decide the matter in late May 2023.
What should I do if I also lost money in the FTX collapse?
If you also lost money during the collapse of FTX or FTX US, we want to hear from you. It is important that everyone have their voices heard. Fill out our contact form or give us a call at (832) 848-0036. We are here to listen and give you guidance.
Practice area(s): Civil Litigation
Court: Northern District of California