Ripple looking to throw a knockout punch as its requests documents from international exchanges
A new motion has been filed by Ripple’s Brad Garlinghouse and co-founder Chris Larsen. The U.S. Securities and Exchange Commission are requested to investigate Bitfinex’s parent company, iFinex, and an additional 14 international crypto exchanges.
The June 2 motion requests documents from exchanges including iFinex, Bitforex, Bithumb, Bitlish, BitMart, AscendEX (formerly Bitmax), Bitrue Singapore, Bitstamp, Coinbene, HitBTC, Huobi Global, Korbit, OKEx, Upbit Singapore, and ZB Network Technology
A memorandum supporting the motion notes the letters of request solicit assistance from authorities in the Cayman Islands, Hong Kong, South Korea, the United Kingdom, Singapore, Seychelles, and Malta.
In the dramatic lawsuit, the SEC accuses both Garlinghouse and Larsen of selling more than two billion units of XRP to “public investors” located “all over the world”.
The Ripple’s executives deny the allegations of violating Section 5 of the 1933 Securities Act, emphasizing that Section 5 specifically prohibits the domestic sale of securities without a registration statement. According to Garlinghouse and Larsen’s legal team, the XRP sales were conducted on foreign exchanges and therefore not within the SEC’s jurisdiction:
“In the case of transactions conducted on such foreign trading platforms, both the offers of XRP and the sales of XRP occurred on the books and records of the respective platforms, and therefore geographically outside the United States. The SEC’s failure to allege domestic offers and sales should be fatal to its claims.”
Ripple states that the exchanges “possess unique documents and information”, specifically concerning “the process by which transactions in XRP allegedly conducted by the Individual Defendants on foreign digital asset trading platforms were conducted.”
Yesterday’s filing comes just days after Judge Sarah Netburn dismissed the SEC’s request to access communications between Ripple and its own legal counsel by stating that “the SEC’s requested communications are protected by the attorney-client privilege, which has not been waived.”
The post Ripple looking to throw a knockout punch as its requests documents from international exchanges appeared first on iGaming.
Source: igaming
