• The ongoing legal battle between the United States Securities and Exchange Commission (SEC) and Ripple Labs has taken a new turn, with prominent crypto lawyer John E Deaton accusing the SEC of stonewalling and concealing the truth.
• On May 11, 2023, Empower Oversight filed a complaint against the SEC in a District Court in the United States, seeking to force the regulator to comply with a FOIA request it had filed in December 2022.
• It was recently revealed that former senior SEC official William Hinman received $9 million in compensation from his former employer while helping to guide the SEC’s enforcement decisions on cryptocurrencies.
Ongoing Ripple Labs-SEC Legal Battle
The ongoing legal battle between U.S. Securities and Exchange Commission (SEC) and Ripple Labs has become increasingly heated as crypto lawyer John E Deaton accuses the regulatory body of stonewalling and concealing information relevant to Ripple’s defense.
Empower Oversight Files Complaint Against SEC
On May 11, 2023, non-profit organization Empower Oversight filed a fresh complaint against the SEC in a District Court in the United States, seeking to force it to comply with an earlier Freedom of Information Act (FOIA) request submitted by Empower Oversight in December 2022. This request sought information related to potential conflicts of interest or selective enforcement by former high-level officials concerning cryptocurrencies.
Revelations About Former Senior Official William Hinman
It was recently revealed that former senior SEC official William Hinman received $9 million in compensation from his former employer Simpson Thacher while helping guide decisions regarding cryptocurrency enforcement made by the agency. Representing XRP holders involved in this case against the SEC, Deaton voiced his frustration about this lack of transparency on Twitter stating that there is corruption within leadership at the agency which withholds crucial documents needed for Ripple Labs‘ defense.
Empower Oversight Seeks Documents From FOIA Request
The FOIA request seeks all communications related to cryptocurrencies between senior SEC officials and their former employers or related entities; however, according to Empower Oversight’s complaint against them, they have yet to receive any records or documents despite multiple requests being placed over several months prior.
Conclusion
This case highlights just how important transparency is when it comes to regulation involving cryptocurrency markets; without proper oversight there can be potential conflicts of interest which could lead to unfair decision making or outcomes for investors and other stakeholders within these markets. With no end currently insight for this legal dispute between Ripple Labs and The U.S Securities & Exchange Commission – only time will tell how this situation ultimately resolves itself