- The court has granted an extension until December 8, 2023, for Justin Sun and his enterprise Rainberry amidst allegations from the U.S. Securities and Exchange Commission (SEC).
- The lawsuit filed in March 2023, centers around the accusation of offering TRX and BTT as unregistered securities, among other allegations of market manipulation.
The unfolding legal tale between the U.S. Securities and Exchange Commission (SEC) and Tron’s progenitor, Justin Sun, coupled with his enterprise Rainberry, witnessed a new turn as the court extended the defense’s timeline to December 8, 2023. This extension facilitates a wider window for Sun’s legal representation to
“explore possible resolution of the SEC’s claims against defendants before motion practice.”
Unraveling Legal Threads
The stormy legal clouds began gathering in March 2023 when the SEC swung its gavel of accusations towards Justin Sun, the Tron Foundation, the Bittorrent Foundation, and Rainberry. The essence of the lawsuit orbits around the allegation of TRX and BTT being paraded to investors as unregistered securities, which purportedly infringes the U.S. securities regulations. Further, the SEC has painted Sun with a brush of suspicion, accusing him of orchestrating a grandiose scheme to maneuver TRX’s market valuation.
The narrative took a turn on September 14, 2023, when the legal counsels of both Sun and Rainberry appealed for a breather from the court. Their plea found favor in the eyes of Judge Edgardo Ramos, leading to a new deadline set for December 8, 2023, thus widening the horizon by 76 days for the defense. The letter to Judge Ramos conveyed that there is a
“good cause for the extension,”
steered by two pivotal underpinnings.
Firstly, a conspicuous unraveling of the Tron Foundation in April 2023, which is currently on a renaissance trail in Singapore, necessitated this extension. Secondly, a parallel courtroom drama involving the SEC and Ripple Labs Inc. has emerged as a critical subplot. The legal squadron of Sun finds it cardinal to sift through the
“proceedings related to Judge Torres’ decision.”
Albeit, the correspondence didn’t gloss over the fact that an interlocutory appeal against Torres’ judgment has been lodged by the SEC, with the scales of justice yet to tip towards a final verdict.
The newly granted extension breathes a temporary sigh of relief into Justin Sun and Rainberry’s corner, furnishing them with a prolonged span to chart the legal waters before delving into the tumultuous seas of motion practices.