FTX investors sue law firm Fenwick&West for alleged fraud assistance

FTX investors have sued Silicon Valley law firm Fenwick&West, accusing them of deep involvement in FTX fraud, including shell companies covering up capital flows, evading regulation, and assisting FTX in attracting over $1.3 billion in financing. The lawsuit claims that the law firm was aware of the misappropriation of client funds to Alameda Research and provided relevant legal advice. Former FTX executive confirms that Fenwick assisted in concealing the use of funds. FTX went bankrupt in 2022, and its founder SBF has been sentenced to 25 years in prison.