News
Judge Torres will deny SEC motion at remediation stage
Ripple XRP News: The U.S. Securities and Exchange Commission’s reasons for arguing injunctions and restitution are weak and Judge Torres may deny the SEC’s argument that institutional investors suffered pecuniary harm, said attorney James Murphy, known as MetaLawMan by the XRP army.
Why the SEC’s Argument for Refund is Weak
Pro-XRP lawyer James Murphy in a post on X said the U.S. Seconds The brief answer adds nothing meaningful to the argument that institutional investors suffered pecuniary harm. The SEC seeks $876 million in restitution from Ripple Labs on the grounds that some institutional investors suffered harm. While Curling argued that precedent in the Govil case held that the SEC is not entitled to restitution if there is no financial loss to the purchaser.
Murphy added that the SEC depends on SEC v., a district court case, which held that the “pecuniary damage” requirement is proven when the price of a stock is artificially inflated. The SEC claims that Ripple artificially manipulated the price of XRP in several ways, including automated bots. Ripple executives have denied such claims many times before.
“In my opinion, the iFresh decision is a misreading of the 2nd Circuit’s decision in Govil on refunds. And interestingly, the judge who wrote the iFresh decision designated it “NOT FOR ELECTRONIC OR PRINTED PUBLICATION,” MetaLawMan said.
The SEC argued that some institutional buyers suffered pecuniary harm because they received fewer discounts on XRP compared to others who paid higher prices.
Read too: Ripple Vs SEC – Judge Torres’ Settlement, Appeal, and Final Decision Timeline
Judge Torres will deny SEC argument
Judge Torres will likely deny in part the SEC’s motion for $2 billion in fines. James Murphy argued that it is still wrong to cite a decision with the “not for publication” designation as precedent. These are considered the weakest precedents for any case.
However, he does not rule out the possibility of Judge Torres following iFresh’s reasoning. Additionally, it is possible for the Judge to schedule a hearing to resolve unanswered questions about the parties’ positions.
In response to James Murphy, attorney Jeremy Hogan said “You have to seek permission from the appellate court before citing these cases. Hopefully the judge will understand this since Ripple has no answer.”
XRP Price trades above US$0.52, down more than 2% in the last 24 hours. The 24-hour low and high are $0.518 and $0.542, respectively.
Read too: