BTC miner paid a large sum to a company connected with its head
Core Scientific terminated payments to an associated with its CEO, Mike Levitt, company Stone Tower Air LLC shortly before announcing it was unable to meet its obligations.
BTC miner transferred Stone Tower Air LLC $1.65 million for airline services. Stone Tower Air LLC and Mike Levitt were also contacted and explained that the flight services were used to save time.
Core Scientific used an airline to transfer between facilities because our enterprises are located far from large airports. Not only did this keeps costs down, but it also helped our staff to stay with their families.
Mike Levitt's connection with the air company helped Core Scientific enjoy charter flights much cheaper.
According to the Bankruptcy Code, the first step when a company files a petition is to find affiliates who have 20% or higher.