BlockFi sues a Bankman-Fried company to recover Robinhood shares
(Reuters) -Cryptocurrency lender BlockFi Inc has sued a holding company for FTX founder Sam Bankman-Fried, seeking to recover shares in Robinhood Markets Inc pledged as collateral three weeks ago, before BlockFi and FTX filed for bankruptcy protection.
BlockFi in a complaint filed on Monday in New Jersey bankruptcy court said Emergent Fidelity Technologies Ltd has defaulted on its obligations under a Nov. 9 pledge agreement.
Emergent guaranteed the repayment of obligations of Alameda Research Ltd, the crypto hedge fund affiliated with FTX, according to court documents.
Emergent holds a 7.42% share of Robinhood, according to Eikon data.
Bankman-Fried is not named as a defendant. He did not immediately respond to a request for comment.
(Reporting by Jonathan Stempel in New York; Editing by Mark Porter and Sam Holmes)
