3AC’s Founder Su Zhu Arrested in Singapore
On the 29th of September, 2023, Su Zhu, the creator of 3AC, was captured by Singaporean officials at Changi Airport.
While trying to leave the country, Singaporean officials detained Su Zhu, co-founder of Three Arrows Capital (3AC). The joint liquidators of 3AC reportedly verified the news to Teneo, saying that the arrest had taken place at Changi Airport. The Singaporean courts issued a committal order leading to his arrest.
After declaring bankruptcy in July 2022, the crypto hedge fund was one of the first industry heavyweights to fall. Its demise was precipitated by the Terra network’s LUNA and UST cryptos going down as well. Before Terra’s downfall, the firm was responsible for almost $10 billion in assets, but most of them were lost.
Furthermore, other crypto enterprises in the market saw the effects of this disaster leading to a bankruptcy phase in which clients lost a significant portion of their initial investments.
Zhu’s current behavior has earned him a four-month jail term. Keep in mind that 3AC’s other co-founder, Kyle Levingston Davies, is similarly situated at present.
The committal order states, “Any Police Officer is hereby directed to apprehend both Mr. Zhu and Mr. Davies and deliver them safely to be imprisoned for a period of four months.”
Furthermore, the liquidators will attempt to participate in things pertaining to the defunct cryptocurrency network during his stay in jail. The goal of this contract is to get back whatever property 3AC bought with the company’s money.
Before this, the regulatory authorities in Singapore issued an order preventing the founders of 3AC from founding or acting in regulated businesses or professions. There was a nine-year time limit on this. In addition, the Singaporean financial regulator claimed that Davies and Zhu had broken the Securities Act.