Kyle Davies, co-founder of collapsed cryptocurrency hedge fund Three Arrows Capital, has reportedly been spotted in Bali while he continues to escape arrest from Singaporean authorities.
Images provided to Cointelegraph show Davies with an unknown woman at the Milk and Madu cafe in Canggu, Bali on November 8th.
Cointelegraph did not publish the images, but said that they show a “stark resemblance” to multiple photographs that Davies has published online in the past couple of years.
The image depicted Davies in a pink collared shirt and sunglasses. The publication’s witness also claims that Davies looks “alive, well and happy” and was attempting to hide his face when he realized he may have been recognized in public.
“It is 100% him. From the shirt and glasses, I also saw him firsthand without the glasses. He then put the glasses on when he felt we “recognized” him and continued to put the glasses on until we left the place and took this from the cashier’s point of view,” the anonymous source told Cointelegraph.
A separate source confirmed to Cointelegraph that the 3AC co-founder is based in Bali. The New York Times previously reported that Davies and 3AC co-founder Su Zhu had spent months in Bali evading bankruptcy proceedings in the US and Singapore.
Davies and Zhu currently face four months in jail in Singapore for refusing to cooperate with bankruptcy investigations.
Three Arrows Capital, a Singapore-based cryptocurrency hedge fund, was mandated to liquidate by a court in the British Virgin Islands in June last year.
Established in 2012 by Davies and Zhu, the company borrowed billions of dollars for its trading activities. In 2022, Three Arrows became the inaugural major crypto firm to declare bankruptcy, a downfall which was triggered by the May 2022 collapse of cryptocurrencies Luna and TerraUSD.
The fund currently faces creditors’ claims totaling $3.5 billion. The collapse of the fund, which incurred losses exceeding $3 billion between 2021 and 2022, stands as one of the most substantial hedge-fund trading losses in history.
Zhu was apprehended in Singapore on September 29 while attempting to flee the country. This arrest followed the securing of a civil court order by 3AC liquidator Teneo earlier in the month, which mandated the imprisonment of both founders.
Davies is still yet to be apprehended, and has already successfully avoided contempt charges in the US. After renouncing his American citizenship in 2022, marrying a Singaporean national and becoming a Singapore citizen, 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,” as his lawyers provided evidence showing that he was no longer an American citizen.