The United States Securities and Exchange Commission (SEC) has criticized Ripple Labs’ latest argument for a lower penalty, saying it wouldn’t be enough.
On June 13, Ripple cited the SEC’s settlement with Terraform Labs when it again asked Judge Analisa Torres of the United States District Court for the Southern District of New York for a penalty of “no more than $10 million” — far lower than the regulator’s proposed $876.3 million civil penalty.
A day later, the SEC argued in a June 14 letter to Torres that its $4.5 billion settlement with Terraform Labs and its co-founder Do Kwon — inclusive of a $420 million civil penalty — was made as the firm is bankrupt, agreed to return money to investors and fired leaders “in charge at the time of the violations.”
“Ripple is agreeing to none of this relief — in fact, Ripple is agreeing to nothing.”
