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Ripple Ally Asks Court to Impose “Modest” Civil Penalty

source-logo  u.today 27 December 2022 07:51, UTC

Today, the court filing of cryptocurrency startup LBRY against the Securities and Exchange Commission (SEC) was unveiled in a case that has been dragging on for months.

In their filings, the defendant alleged the SEC's request for remedies showed a "complete disregard" of facts regarding members from the company being able to cause future securities violations and requested a denial of the SEC's demand for an injunction and disgorgement with a more modest civil penalty instead.

In their filings, the defendants allege that the SEC is conflating LBRY and Odysee, two distinct entities engaged in separate operations.

Moreover, they argued that the $22 million disgorgement demanded by the SEC was not based on factual numbers regarding profits caused by violations committed by LBRY.

LBRY has asked for only a modest first-tier civil penalty rather than injunctive relief and disgorgement.

Earlier this month, LBRY filed a motion to limit the SEC's remedies.

As reported by U.Today, the Ripple ally lost its case against the SEC in early November.

u.today