- Ripple Labs and two of its officials alleged for trading $1.3 billion US dollars through illegal means.
- The date of the statement filing date on undeniable facts and motion for summary judgement is September 13, 2022.
The SEC started their legal process against XRP on December 22, 2022, alleging that the Ripple platform has raised $1.3 billion from illegal means and has also alleged co-founder Christian Larsen and current ripple CEO Brad Garlinghouse of gaining profit from the whole procedure.
In SEC legal proceedings in the second quarter of 2020, the security and exchange commission stated that XRP is differentiated as a security as it was used for the financing of the Ripple Ecosystem that offers the facility for retailers to transfer funds. The process of money transfer was also enriching the employees of the Ripple platform.
The security and exchange commissions have opted for legal proceedings against Ripple Labs and two of its officials for trading $1.3 billion US dollars in XRP crypto as the security without informing and registering the procedure with the SEC. Ripple Labs, along with others, blamed the SEC for being biassed during the assessment.
The Securities and Exchange Commission rules and regulations state that securities must be enrolled with the commission and some amount of financial information should be publicly revealed. The motive behind this regulation is to avoid fraud and protect the interests of investors.
James K. Filan, Ripple’s defending lawyer, has shared updates on the legal proceedings between Ripple and the SEC on Twitter. James quoted the motion for summary judgement in this document.
According to James’ published documents, the date of the statement filing date on undeniable facts and motion for summary judgement is September 13, 2022. The last day to file opponents for the motion for summary judgement and its response is October 18th, 2022, and the replies to the opposition should have to be filed by November 15, 2022.
William Hinman(a former official of the SEC, mentioned in his statement in 2018 that he does not consider Ethereum(the leading smart contract ecosystem) a security. And after completing two years in January 2020, the security and exchange commission Litigated Ripple Labs for trading XRP tokens(Official Tokens of Ripple Labs) as not registered securities.
Source: https://www.thecoinrepublic.com/2022/07/28/ripple-vs-sec-final-judgement-is-nearer-than-we-thought-what-to-expect/