The US Securities and Exchange Commission (SEC) is seeking personal financial disclosure of two executives at Ripple Labs Inc. in the current litigation with the company, writes Bloomberg.
Ripple co-founder Chris Larsen and CEO Brad Garlinghouse on Thursday asked a federal judge to block requests sent by the SEC to six banks spanning an eight-year period. Defendants call the SEC’s actions a “completely inappropriate overkill” in a case that does not include fraud charges. They also note that the SEC does not accuse them of merging personal finance with corporate, and its requirement covers everything from income to non-business transactions and “how much money they spend at the grocery store each week.”
Larsen and Garlinghouse say they agreed to provide records related to XRP transactions and information about the fees received from Ripple, but the SEC “clarified” that this was not enough.
“The SEC has not offered and cannot provide a clear explanation on what basis they are entitled to access this information,” said a spokesman for the defendants.
The SEC claims that the two executives ignored legal advice that XRP could be recognized as a security and personally earned about $ 600 million from token sales.
According to the latest reports to the SEC, Ripple Labs is preparing to sell 8.2 million shares of MoneyGram, that is, its entire stake in the former partner’s company. For the sale of the shares, Ripple entered into an agreement with the investment bank Jefferies Group. Sales are scheduled to start on March 11th and end on September 30th. In total, Ripple owns about 10% of MoneyGram’s shares. Their cost has dropped by 30% in a few weeks.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
