Ripple and SEC lawsuit takes interesting turns

Ripple Labs and the United States Securities and Exchange Commission (SEC) lawsuit has taken quite a few interesting turns. The everlasting fight over so many years has made headlines that have directly affected the price of Ripple’s native cryptocurrency XRP. Simultaneously, on Thursday, the FinTech firm filed its Sur-Reply regarding the financial regulator’s motion to strike the Fair Notice Affirmative Defense. The firm’s reply came mainly to oppose the US SEC’s inappropriate request for judicial notice.

Ripple Labs attack mode is on

Ripple Labs opposes the US SEC for inappropriate requests for judicial notice. Moreover, the FinTech firm seeks to address the regulator’s misleading characterization of its prior enforcement actions.

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On Friday, the firm filed a Letter Motion to compel the SEC to turn over notes. The latest motion is regarding a 2018 meeting between Brad Garlinghouse, Ripple’s CEO, and Elad L. Roisman, former SEC Commissioner. At the time, the SEC claimed that they were privileged and refused the petition. Hence, following the previous facts, it seems another attack emerged from Defendant to support this offensive move.

Notes taken by SEC should be disclosed

Famed attorney James K. Filan took to Twitter to expand the Ripple and SEC topic. The attorney highlighted that the latest filing comprised a set of attorney notes reflecting meetings between the two. The financial regulator declined to reconsider its position on the issue despite conveying the same over different meetings in January and early February this year.

Following Matthew Solomon’s case, the counsel defendant underscored that the notes are not privileged and should be disclosed. Indeed, in the context of the fact, the notes taken by the regulators with third parties do not fall within the scope of the DPP. 

Although the info gathered may later be relied on for future policymaking. SE asserts that the filings were protected by the deliberative process privilege (DPP). 

Experts believe there is something fishy

A regulatory news platform, Crypto Law, sought Congress intervention and investigated the US Securities and Exchange Commission. It is observed that the case is not really what we see, as the users portrayed on the thread.

Jeremy Hogan, a famed individual, and partner at Hogan & Hogan, have criticized the move of the US regulator. According to Hogan, the regulatory body has no tenable basis for raising the DP Privilege here since it conceded to Solomon that the notes could not be related to the investigation of Ripple. Hence, it clearly seems that the regulator is throwing this DPP Hail Mary and hoping that Judge Torres bails them out on appeal.

Many are bullish that Ripple might win the battle following the recent developments.