Attorneys for lenders to bankrupt crypto firm Three Arrows claim the two founders have vanished

A couple of hours ago I posted a story about the collapse of one of the earliest (thus oldest, most admired) cryptocurrency lending firms, Three Arrows Capital ("3AC").  I called the whole thing a scam and scheme.  

Well just now that was proven true, as attorneys for the companies that had loaned 3AC the better part of a BILLION dollars have filed motions claiming the whereabouts of founders Zhu Su and Kyle Davies are "currently unknown."

According to Friday's court filing, Zhu and Davies participated in an introductory Zoom call last week to discuss steps to preserve the company's assets. Neither founder turned on his video, and both remained muted for the duration.  Instead all dialogue was conducted through counsel. But attorneys for the pair assured creditors they really were present for the call.  Really.

At a court hearing scheduled for this morning, although the pair weren't seen in the courtroom, their attorneys said the pair were in fact present, and texted "We're sitting right here in the courtroom!  You just can't see us because we're wearing our Invisibility Cloaks!  So there's no need to go looking for us."  

When reporters asked attorneys with the DOJ's Southern District of New York if that was allowed, the attorneys consulted admitted that while it was somewhat unusual, no rule of federal procedure banned Invisibility Cloaks in court. 

Interestingly, yesterday lawyers for the firm's creditors asked the court keep the identity of the creditors sealed.  

It's almost as if the CEOs of the lender firms are worried that losing hundreds of millions due to a stupid loan to a "tulip bulb"-type scam might possibly cause their companies to go under too.

Nah, those big financial guys are reeeeally smaht, so dey wouldn't make stupid loans!

Would they?

Cue Leslie Nielson video: "Nothing to see here, people!  Stay calm!"

Source: CNBC (well, mostly)