Kyle Davies Not Keen on Singapore Jail Despite 3AC Co-Founder Su Zhu's 'Enjoyable Experience'
Kyle Davies doesn't want to go to Singapore prison, despite the city-state's jail system getting a raving review from his buddy and co-founder of 3AC, Su Zhu.
Speaking on a recent episode of the Unchained Podcast with Laura Shin, Davies was unapologetic for the collapse of 3AC.
“Am I sorry for a company going bankrupt? No. Like, companies go bankrupt all the time,” Davies said with a laugh.
The Singapore-based cryptocurrency hedge fund lost over $3 billion between 2021 and 2022 and was ordered to liquidate in June 2022 by a British Virgin Islands court.
“Maybe at a minimum, we could tell the next Three Arrows how to do things better when they go bankrupt, ”he added.
Davies, who claims he is currently in Europe, said he is not planning on returning to Singapore so as to avoid prison. The once-crypto mogul became a Singaporean permanent resident in 2017 and renounced his American citizenship for Singapore citizenship in 2021.
However, he's been also leveraging his Singaporean status – Davies has refused to acknowledge the US' jurisdiction. In a filing on 11 August 2023 at the United States Bankruptcy Court for the Southern District of New York, Judge Martin Glenn said previous rulings did not consider Davies' non-US citizenship and residence outside the country.
The court had initially dealt with Davies as a US national, but the subpoena has been rendered invalid due to the court's incorrect assumption about his American citizenship. The judge has thus denied a request to hold Davies in contempt of court and impose sanctions.
In September 2023, the Monetary Authority of Singapore (MAS) placed a nine-year prohibition order on Davies and Zhu for their involvement in 3AC's collapse and the financial contagion that came along with it. The pair are banned from taking part in the management during this time.
Zhu was arrested in October, whilst attempting to flee at Singapore's Changi Airport. Liquidator Teneo confirmed Zhu's arrest but stated that the crypto villain was facing a committal order after failing to comply with a Singapore court order.
The wanna-be fugitive was sentenced to four months in prison but was released slightly early based on standard provisions for good behaviour.
Upon leaving prison, Zhu became an advocate for Singapore's jail system, claiming "it's something if everyone got to experience once, I think it's definitely good for you."
“Obviously, no one wants to go to prison, but I think that it was a really enjoyable experience overall,” he said Zhu. “All the things they allow you to do still in prison are the things that, like in the ancient days, would still be considered entertainment, right?”
Sadly, Davies isn't sold on Zhu's review of the Singapore prison and continues to stay out of the country in fear of his arrest.