Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
SEC plans to dismiss case against DEBT Box after admitting inaccurate statements were made

SEC plans to dismiss case against DEBT Box after admitting inaccurate statements were made

The BlockThe Block2024/01/30 21:46
By:The Block

Quick Take The agency, which first sued Digital Licensing in July, told Utah U.S. District Court Judge Robert Shelby that it planned to dismiss the action without prejudice, meaning the SEC can still refile its case.

SEC plans to dismiss case against DEBT Box after admitting inaccurate statements were made image 0

The Securities and Exchange Commission is looking to dismiss its lawsuit against crypto startup DEBT Box after the agency's lawyers admitted inaccurate statements were made in court. 

The agency, which first sued Digital Licensing Inc., doing business as DEBT Box, in July, told Utah U.S. District Court Judge Robert Shelby that it planned to dismiss the action without prejudice, meaning the SEC can still refile its case. 

"The Commission has determined that the best way to proceed is to dismiss this action without prejudice. Thus, the Commission has authorized the filing of a motion to dismiss this action without prejudice, which will be forthcoming," SEC lawyers said in a filing on Tuesday. 

The SEC admitted in late December that it made inaccurate statements and said it "fell short" of the expectations to be accurate and candid in the court. Judge Shelby had criticized the agency's lawyers and ordered the SEC to explain "false or misleading" statements after it claimed the company was trying to move assets overseas in order to escape the regulator's jurisdiction.

Sanctions 

The SEC also said sanctions were not warranted. Judge Shelby had ordered the SEC late last year to explain why sanctions should not be imposed upon its lawyers.

"While the Commission recognizes that its attorneys should have been more forthcoming with the Court, sanctions are not appropriate or necessary to address those issues," the SEC said on Tuesday. 

An SEC spokesperson declined to comment beyond the public filings. The SEC has brought multiple lawsuits against crypto firms over the past year, and its chair Gary Gensler has repeatedly said most cryptocurrencies are securities. 

The SEC's suit against DEBT Box alleged it defrauded thousands of investors of at least $49 million by offering customers so-called "node licenses" to receive revenue from mining 11 tokens, though they were never mined. 


0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!