- The SEC is seeking $2 billion in fines and penalties in its battle against Ripple Labs
- Ripple’s Chief Legal Officer, Stuart Alderoty, revealed the demand which will be released today
- Alderoty claimed that the SEC “remains bent on wanting to punish and intimidate Ripple”
The US Securities and Exchange Commission (SEC) is seeking fines and penalties amounting to $2 billion in its legal battle against Ripple Labs. The demand was revealed by Ripple’s Chief Legal Officer, Stuart Alderoty, on Monday, who claimed that the SEC “remains bent on wanting to punish and intimidate Ripple.” The claim relates to the SEC vs. Ripple case which left the SEC with a bloodied nose last year, but it seems that the agency is determined for revenge in the outstanding matters.
Filing to be Released Today
Alderoty in an X thread that the SEC has requested the penalties from US District Judge Analisa Torres in Manhattan, the same judge who ruled that XRP is not a security in Ripple’s famous win last year:
As you will see when the SEC’s brief is made public tomorrow, they ask the Judge for $2B in fines and penalties. 1/4 https://t.co/HM8dBbn7lp
— Stuart Alderoty (@s_alderoty) March 25, 2024
The redacted filing is due to be released today, but Alderoty revealed the astonishing figures in his thread, alleging that the SEC “trades in statements that are false, mischaracterized and designed to mislead.”
SEC vs. Ripple Rolls On
The dispute stems from the SEC’s 2020 lawsuit against Ripple, CEO Brad Garlinghouse, and co-founder Chris Larsen, alleging the illegal sale of over $1.3 billion in unregistered securities through XRP. While the SEC dropped its claims against Garlinghouse and Larsen last October, the case against Ripple has continued, with this demand being the latest round in the fight.
Alderoty said that Ripple will be filing its response next month and, while admitting that remedies were likely, hoped that Judge Torres would adopt her approach “fairly.”
