BlockBeats News, on July 22, according to a court document reviewed by Cointelegraph, the management team of the bankrupt cryptocurrency exchange FTX is requesting an extension in Delaware court to respond to more than 90 objections raised against its proposed "freezing of repayments to certain foreign jurisdictions." This document, titled "Motion for Leave," was submitted on Sunday and aims to give the FTX team more time to prepare its arguments regarding the suspension of payments to so-called "restricted jurisdiction" creditors. The court has scheduled a hearing on Tuesday regarding the motion that initially sparked controversy. The FTX management team stated in the motion: "Due to the large number of objections received around the objection deadline, the FTX Recovery Trust needs additional time to draft, finalize, obtain approval, and submit a response." The initial motion submitted by the FTX management team sought to suspend payments to creditors in countries where cryptocurrency laws are unclear or restrictive. They argued that making payments to residents of these countries could "trigger fines and penalties, including personal liability for directors and executives, and could even result in criminal penalties, including imprisonment." This decision will affect creditors in 49 countries, involving a total of $470 million in claims. Among them, Chinese residents are the largest affected group, accounting for 82% of the total claims from the so-called "restricted countries," or approximately $380 million. The FTX management team's action to freeze repayments has drawn strong criticism from some creditors. Among them, creditor representative Weiwei Ji stated that he is fighting on behalf of hundreds of Chinese creditors.
