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From paragraph 60 in the filing (emphasis is mine):

"As explained to OAG attorneys by Respondents' counsel. Bitfinex and Tether have also used a number of other third party payment processors to handle client withdrawal requests, including various companies owned by Bitfinex/Tether executives, as well as other 'friends' of Bitfinex - meaning, human being friends of Bitfinex employees that were willing to use their bank accounts to transfer money to Bitfinex clients who had requested withdrawals."

This was rumored pretty heavily when Bitfinex said "Divulging [bank account] info could damage not just yourself and Bitfinex but the entire digital token ecosystem … you are cautioned that there may be serious negative effects with this information becoming public." LOL https://news.bitcoin.com/bitfinex-introduces-top-secret-bank...

> "The New York Attorney General’s court filings were written in bad faith and are riddled with false assertions, including as to a purported $850 million “loss” at Crypto Capital. On the contrary, we have been informed that these Crypto Capital amounts are not lost but have been, in fact, seized and safeguarded. We are and have been actively working to exercise our rights and remedies and get those funds released. Sadly, the New York Attorney General’s office seems to be intent on undermining those efforts to the detriment of our customers." https://www.bitfinex.com/posts/356

So they admit that the money was once lost, just they recovered part of it? Of course, they forgot to disclose.

No. They claim the money was seized from a "partner" (Crypto Capital) by various governments (~$400 million to Poland, etc), and they are trying to get it back.

And why wasn't that disclosed to customers prior to today?

That is between them and their "customers", I guess.

Bitfinex has been shady for a long time and tether from its beginning. So, good luck to them. But that is nothing new.

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