a group of applicants to the Southern California District Court; Silvergate Bank has filed a class action lawsuit against Silvergate Capital Corporation and Silvergate CEO Alan Lane. Defendants are concerned about accounts held at FTX and Alameda Research.
submitted to the court with a complaint Silvergate is also intended to be held accountable for FTX’s involvement in depositing user deposits into Alameda’s bank accounts. This relationship between FTX and Alameda caused panic in the market and eventually both companies filed for bankruptcy.
Joewy Gonzalez brought the case on his behalf and on behalf of others in the same situation. Stating that it has invested its savings in crypto via FTX, the plaintiff says the platform offers a promise to “safely store, cash out, or trade assets while they appreciate in value.”
According to Plaintiff’s complaint, Silvergate has ceased to aid and abet FTX’s fraudulent activities and breaches of fiduciary duty. It is argued that Silvergate could be held liable for its role in “advancing FTX investment scams,” and therefore liable to repay the plaintiff and other investors.
The plaintiff is represented by Girard Sharp and Hartley LLP. Lawyers for the defendant have not yet been seen.