Ross Rheingans-Yoo, an employee of FTX Foundation, has recently filed a response to FTX’s claim regarding his unpaid salaries and bonuses totaling $275,000. In a court filing on November 13th, the foundation staff argued that he was entitled to $650,000 but was only paid $375,000, leaving an unpaid balance of $275,000 from his 2022 salary.
In his response, Yoo asserts that the money was due prior to the exchange filing for bankruptcy in 2022 after its infamous collapse, which resulted in widespread losses. Denying any participation in Sam Bankman-Fried’s crimes, Yoo, through his legal representatives, rejects all allegations and emphasizes that he was not involved in the inner circle and was unaware of any misconduct.
Additionally, the exchange has filed a lawsuit against Yoo and others to recover over $75 million, which it claims benefited the defendants without FTX and Alameda Research. Yoo’s legal representatives argue that the company in question, Latona, was a registered non-profit under the law and that their client acted in good faith as a Latona director.
Furthermore, Yoo’s legal team alleges unfair treatment, stating that he fulfilled his duties as a Latona director without any additional involvement. They argue that the plaintiffs were fully aware of this, yet continued to exploit the unpopularity of Bankman-Fried. They also reject the argument that Yoo should be disqualified from receiving his unpaid salaries due to a breach of employment contract, emphasizing that he was employed by FTX and never raised any concerns about a breach during his time with the company.
In the court filing, Yoo provides a document outlining the terms of his initial employment, which included a $100,000 base salary. According to this document, he is also entitled to $5,700 and $62,800 as pre-petition and post-petition salary payments.
While Yoo claims unpaid salaries and bonuses for his time at FTX Foundation, the company alleges that he was aware of certain developments and participated in fraudulent donations to life science companies. The company’s lawsuit accuses Yoo and others of aiding and abetting Bankman-Fried’s actions in transferring assets to specific companies. They also argue that Yoo’s employment contract explicitly states the role of “Trader and Investment Associate,” with no evidence of performance in such a capacity.
Some analysts suggest that Yoo has already been compensated in full, as he chose to receive partial repayment via options in affiliates before the exchange filed for bankruptcy.
