Three Arrows Capital Co-Founder Kyle Davies Spotted in Bali Amid Bankruptcy Proceedings

According to Cointelegraph, Kyle Davies, co-founder of Three Arrows Capital (3AC), has been reportedly seen in Bali, evading authorities over the collapse of the defunct hedge fund. Davies has been sentenced to four months in jail in Singapore for failing to cooperate with investigations into 3AC's bankruptcy. An anonymous source provided images that allegedly show Davies with an unknown woman at the Milk and Madu cafe in Canggu, Bali on Nov. 8. Separate sources involved with ongoing bankruptcy proceedings in Singapore have confirmed that the 3AC co-founder is based in the Indonesian province. The witness claims that Davies looks “alive, well and happy” and attempted to conceal his identity once he suspected he may have been recognized. Davies’ co-founder Su Zhu was arrested in Singapore on Sept. 29 as he attempted to flee the country, after 3AC liquidator Teneo had secured a civil court order that committed both founders to prison earlier in the month. The New York Times reported that the pair had spent months in Bali instead of cooperating with bankruptcy proceedings in the United States and Singapore. Davies has since successfully evaded contempt charges in the U.S. over the bankruptcy case in the country, having renounced his American citizenship in 2022 following his marriage to a Singaporean national and taking up citizenship in the country. Judge Martin Glenn of the U.S. Bankruptcy Court for the Southern District of New York ruled that the court could not “exercise jurisdiction over Mr. Davies” following evidence presented by Davies’ legal representatives that proved he was no longer an American citizen. The judge hinted that the foreign representatives could consider compelling Davies’ compliance through Singaporean courts. Davies' pending arrest and four-month sentence in Singapore is a result of a committal order secured by Teneo for contempt of court.