- Stuart Alderoty, Ripple’s Chief Legal Officer, accuses the SEC of losing ground in court and engaging in unethical practices, including hiding information about meetings with a felon.
- The SEC faces criticism and accusations from various industry figures, reinforcing Ripple’s position in the ongoing legal battle over XRP.
Ripple’s Legal Offensive Against SEC
In a significant development in the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC), Ripple‘s Chief Legal Officer, Stuart Alderoty, has made bold accusations against the regulatory body. Alderoty asserts that the SEC is not only losing its legal fight against Ripple in court but also engaging in dubious practices that are drawing criticism from various quarters.
He says the #SEC is losing in court and facing criticism for "shady behavior." Allegations include the SEC being rebuked by the government's internal auditor and hiding info about meetings… pic.twitter.com/mKaRvChJcU
— Collin Brown (@CollinBrownXRP) November 17, 2023
SEC’s Questionable Conduct in the Spotlight
Alderoty’s recent statements highlight a series of allegations against the SEC. He claims that the agency has been rebuked by the government’s internal auditor and accuses it of concealing information about its meetings with an alleged felon. These allegations paint a picture of a regulatory body that is not only struggling to maintain its stance in the Ripple lawsuit but also engaging in actions that undermine its integrity and credibility.
The SEC is losing in court; being criticized by Judges for shady behavior; being rebuked by the Gov’t’s internal auditor; hiding info about meetings with a felon; becoming irrelevant on the international stage. Gensler – admitting no fault – has become the insulate Col. Jessep. pic.twitter.com/vqjPPcifr8
— Stuart Alderoty (@s_alderoty) November 16, 2023
Alderoty further likens SEC Chair Gary Gensler to Colonel Nathan Jessup from the film
“A Few Good Men,”
suggesting that Gensler is insular and unaccountable in his approach. This comparison underscores the growing tension and distrust between Ripple and the SEC.
Ripple vs. SEC: Legal Developments
The legal battle, which began with the SEC filing a suit against Ripple Labs and two of its executives in December 2020, has seen numerous developments. The lawsuit primarily revolves around the classification of XRP, Ripple’s native cryptocurrency, and whether it should be treated as a security.
Judge Analisa Torres, overseeing the case, has set a timeline for
“remedies discovery and briefing,”
indicating that the legal proceedings are moving forward. Notably, several procedural rulings have not favored the SEC, including an order to disclose internal communications regarding bitcoin, ether, and XRP.
The SEC’s actions in the Ripple case have also drawn criticism from prominent figures in the cryptocurrency industry. Coinbase CEO Brian Armstrong and well-known crypto lawyers like John E. Deaton have accused the agency of improper conduct and irrelevance in the rapidly evolving crypto space.
In conclusion, the ongoing legal battle between Ripple and the SEC has reached a critical juncture, with Ripple‘s Chief Legal Officer Stuart Alderoty leading a vigorous charge against the SEC’s alleged misconduct. As the case continues, the cryptocurrency community closely watches, recognizing its potential implications for the future of digital asset regulation.