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The bankruptcy case of FTX, a cryptocurrency exchange, has proven quite lucrative for the law firms, investment banks, and consulting companies involved. According to court documents, these firms billed FTX a whopping $34.18 million in January alone.

FTX Rakes Up Legal Fees

FTX’s chief restructuring officer and new CEO, John J. Ray III, also received a hefty pay package, charging $1,300 an hour, or a total of $305,000 in February.

The law firms involved in the case include Sullivan & Cromwell, Quinn Emmanuel Urquhart & Sullivan, and Landis Rath & Cobb. In January, these firms invoiced $16.9 million, $1.44 million, and $684,000 for their services and expenses.

Sullivan & Cromwell’s lawyers and staff billed 14,569 hours for their work, which equates to over 600 days. In addition, the firm’s partners received up to $2,165 per hour, while the paralegals and legal analysts were billed out at $425 to $595 per hour.

The highest-priced billables were for discovery ($3.5 million), asset disposition ($2.2 million), and general investigation work ($2 million). FTX was billed another hefty $7.5 million for the first three weeks of last month.

Ray was crucial in keeping Sullivan & Cromwell on board as legal counsel. He filed a court motion on Jan. 17 arguing that the white-shoe law firm had been integral in taking control over the “dumpster fire” handed to him.

Heading To $100m+ In Fees Alone

FTX special counsel Landis Rath & Cobb spent much of its working hours attending court hearings and litigation procedures. For its efforts, the firm billed the FTX administrators $684,000, including expenses.

Forensics consulting firm AlixPartners billed $2.1 million for January. Almost half of the firm’s hours were spent on forensic analysis of decentralized finance products and tokens in FTX’s possession.

Consulting firm Alvarez & Marsal invoiced $12.5 million for over 17,100 hours it committed to avoidance actions, financial analysis, and accounting procedures.

Investment bank Perella Weinberg Partners billed a monthly service fee of $450,000. There’s also over $50,000 in expenses for planning a restructuring strategy and engaging in correspondence with third parties.

The Grind Continues

With FTX’s trial set for October, there is still at least another six months of legal work to be done for the law firms involved. Recent reports have estimated that the fees could reach hundreds of millions by the time the case is over. Of course, such amounts are completely absurd, but that is how the legal system operates.

As the case unfolds, it remains to be seen just how much these firms will continue to bill FTX for their services. One thing is certain, however – this bankruptcy case is proving to be extremely lucrative for those involved.

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