FTX Victims Sue Law Firm Fenwick & West Over Alleged Collusion

A group of 20 individuals who invested in the now-defunct cryptocurrency exchange FTX has filed a $525 million lawsuit against law firm Fenwick & West LLP. The plaintiffs allege that the firm, which is known for its work with Silicon Valley companies, helped conceal the collapse of FTX by advising on how to hide misused customer funds and creating corporate structures to obscure transfers.

The complaint cites testimony from Nishad Singh, FTX's former director of engineering, who admitted to using customer funds for his own gain. According to the plaintiffs, Fenwick advised Singh on how to conceal this activity rather than distancing itself from the matter.