Connect with us

XRP

Ripple, SEC respond to XRP holders’ plea for intervention

Published

on

Source: Pixabay


It would seem that not one day passes without a development in the ongoing case between the SEC and Ripple Labs.

Over a week after John Deaton, an XRP holder, filed a request for leave to file a motion to intervene on behalf of other XRP Holders in the present case, both the plaintiffs and the defendants have now responded to the same in separate letters to Hon. Justice Analisa Torres. Needless to say, both parties have come out with opposing statements and requests.

Ripple Labs agreed that the “Intervenors should be permitted to proceed with their motion to clarify” the issues improperly explained by the SEC’s amended complaint.

According to the San Francisco-based blockchain firm, the intervenors’ concerns about the lack of clarity in the SEC’s case are “well-founded.” In its reply to Deaton’s motion, the defendants also argued that SEC’s attempts to shut down XRP trading in the United States are based on a theory of liability that is ambiguous, and perhaps, deliberately misleading. It concluded,

“If the SEC continues to equivocate and refuses to clearly state its position on these issues, Intervenors’ interest in the outcome of this litigation could be different. Whatever the SEC’s position, Defendants do not object to Intervenors filing their motion under Rule 24.”

On the contrary, the U.S Securities and Exchange Commission claimed that such an intervention would “create an avalanche of claims and near-certainty of undue delay, complexity, and confusion.” In its letter to Judge Torres, SEC argued that the “movants would fail to meet the requirements of an intervention,” with the regulatory agency adding that courts have generally ruled against such motions since it has been a long-held belief that the “SEC is fully capable of adequately protecting investors’ interests.”

Claiming that the consolidation or coordination of claims without the SEC’s consent and sovereign immunity bars such an intervention, the agency concluded its plea by stating,

“If the Court permitted Movants to intervene, “it would be logic-bound to allow all investors and interested members of the public with differing viewpoints to intervene in the underlying actions.”

John Deaton, the man behind the aforementioned motion to intervene was quick to comment on the matter as soon as the responses were filed by the two. He tweeted,

In his initial motion to Judge Torres, Deaton had asserted that XRP Holders’ interests “are not adequately represented” as the “holders of XRP cannot objectively rely on Ripple’s efforts.”

Read the best crypto stories of the day in less than 5 minutes

Subscribe to get it daily in your inbox.


Please select your Email Preferences.

Jibin is a news editor at AMBCrypto. With over three years of experience as a political writer, he primarily focuses on the political impact of crypto developments. A graduate in Law and International Relations, his writing is by and large focused on cryptocurrencies from the political and financial perspective. A Liverpool FC fan. YNWA

Click to comment

Leave a Reply

Your email address will not be published.

Disclaimer: AMBCrypto's content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.