Four US-based media outlets continue efforts to reveal the identities of non-US FTX clients, with new objects to previous motions to seal their identities.
Bloomberg, Dow Jones, the New York Times and the Financial Times first filed a motion on Jan. 11 against FTX and the official committee of unsecured creditors being authorized to redact and withhold client information. While the court has heard similar arguments from the four comp the anies Before, the May 3 filing presents a new objection to the committee's motion to seal the identities of non-US customers. The outlet's most recent argument is that there is no legal basis to redact the names under non-US data privacy laws.
The media giant argues that there is no section under Section 105 of the Bankruptcy Code the provision that confers jurisdiction on bankruptcy courts that allows foreign law to override the right to information under the US Constitution and statute law: “At the end of the day, Movants wants to avoid 'enforcing the public disclosure requirements of US bankruptcy law' without providing a basis for the sequestration." "The laws of the United States -- the Constitution and statutes guarantee the public a strong constructive right to examine bankruptcy fi lings. right cannot be abolished by a party asserting a legal obligation under foreign law," the media company added.
The first argument made claimed in an earlier filing was that the names of FTX creditors do not constitute “confidential business information.” The second - also raised in a previous filing - is that such disclosure would not expose creditors to "undue risk". FTX and the committee have until May 4 at 4 pm ET to submit objections. The hearing date for the application is May 17th at 1pm.
