Law firm Sullivan & Cromwell billed $7.5 million for work on the FTX bankruptcy case in November, a period covering just 19 days, a Tuesday court filing shows.
The firm – whose appointment raised qualms from U.S lawmakers as well as the executive branch and FTX founder Sam Bankman-Fried – had more than 150 staff working on filings, investigating hacks and reestablishing corporate governance arrangements for a network of over 100 entities.
“The services performed by S&C during the Fee Period represent one of the most complicated, multi-disciplinary exercises by any law firm in any area of law,” said the filing, which covers fees and expenses from Nov. 12 to Nov. 30.
A total of over 6,500 hours were worked by 32 partners, 85 associates and 34 non-legal staff, the filing said. Hourly rates are as high as $2,165. The company said charges for senior staff already represent a discount, and the firm is seeking payment of only 80% of a $9.5 million total.
Bankman-Fried, a bipartisan group of senators, and the U.S. Trustee are among those who have raised conflict-of-interest concerns about the firm’s involvement. (The U.S. Trustee is a branch of the Department of Justice dealing with bankruptcy matters). They cited the fact that S&C did $8.5 million of work for the company in the 16 months prior to bankruptcy, and that its former partner Ryne Miller is now FTX General Counsel.
John J. Ray III, who took over as Chief Executive Officer on Nov. 11, has said S&C is a “...
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