Recently, Ripple’s legal representatives sent a letter to the judge in charge of the case, Sarah Netburn. In the letter, Ripple claimed that the SEC aims to roll back the case by reopening the discovery portion.
According to the letter, Ripple requested that Judge Netburn grant the defendants permission to grant two third-party subpoenas against the plaintiff’s wish.
Previously, Ripple claimed that the SEC wanted to obtain downloaded copies of videos related to the case without following the judge’s initial order. The letter had said,
“Defendants Ripple Labs Inc. Brad Garlinghoee and Christain A. Larsen, respectfully request permission to serve two subpoenas from third parties for the limited purpose of obtaining copies of seven video readings for authentication pursuant to court order dated July 19, 2022 The SEC has not consented to this request.”
Additionally, Ripple mentioned that the platform hosting the video was preventing end users from accessing copies of the content without consent.
The company also insisted that the SEC’s goal of reopening discovery videos was inappropriate as it only contributed to wasted time.
Persecution continues because…
Remember that a new third party was inserted to the case a few days ago, giving a new twist to the matter. On top of that, Ripple General Counsel Stuart Alderoty accused the regulatory commission of “regulating through enforcement.”
In his tweets, he said that the SEC was seeking to call every digital asset a security as was the case with the Binance and Coinbase investigation.
Alderoty also mentioned that the SEC’s goals went beyond regular regulation.
He added that their actions reflect those of an agency that wants to show they are the government.
The SEC continues to relegate the CFTC to the children’s table. That’s their regulation-by-enforcement strategy: attack projects with diverse resources so they can expand their jurisdiction beyond “values” by earnestly telling judges that we are the government, so we must be right. 23
— Stuart Alderoty (@s_alderoty) August 3, 2022
Alderoty’s comments may not be surprising, as this was not the first time he had held such an opinion.
Like Alderoty, Ripple CEO Brad Garlinghouse had repeatedly stated that crypto firms were willing to work with the SEC to achieve a regulatory environment without witch hunts.
However, the commission’s recent action may have shown otherwise.
At press time, the SEC had not publicly responded to Ripple’s claims.
As time passes, the verdict of the long-running dispute rests with the perception of the jury.
Ripple hopes to put an end to the case, while the SEC seems determined to indict the cryptocurrency firm.