FTX’s Former Law Firm and Auditor Agree to $66 Million Customer Claims Settlement
According to the latest reported settlement figures, Fenwick & West and auditor Prager Metis account for roughly $65.75 million of a second batch of FTX class-action settlements tied to customer fraud claims.
FTX’s former law firm Fenwick & West and auditor Prager Metis are part of a second batch of class-action settlements totaling about $66.17 million tied to customer claims over fraud at the collapsed crypto exchange. Fenwick agreed to pay $54 million, the largest share, while Prager Metis agreed to pay $11.75 million; the batch also includes a $420,000 settlement from former NBA player Udonis Haslem. Plaintiffs alleged Fenwick helped Sam Bankman-Fried’s businesses operate through complex structures and compliance arrangements before FTX US collapsed in 2022. The proposed settlements remain part of broader litigation and recovery efforts connected to FTX’s failure.
- FTX: A collapsed cryptocurrency exchange whose failure led to bankruptcy proceedings and multiple lawsuits against affiliated parties and service providers.
- Settlement: A legal agreement that resolves claims without a full trial, often involving a payment by the defendants.
- Auditor: An independent accounting firm or professional that reviews a company’s financial statements and internal reporting processes.