The court confirmed that the SEC doesn’t have to produce informal staff communications about XRP, Bitcoin, and Ethereum
In another legitimate victory for Ripple, a US judge ordered the U.S. Securities and Exchange Commission to reveal internal agency documents, memoranda, or formal position papers that discuss Bitcoin, Ethereum, and XRP. However, according to the new update, the court has confirmed that the SEC doesn’t have to produce informal staff communications about these tokens.
The court confirmed that the SEC does not have to produce informal staff communications about XRP, Bitcoin, and ETH
Judge Sarah Netburn, in a new ruling this week, provided more clarification on her ruling last month regarding whether the SEC may keep its internal documents secret from Ripple.
Netburn has confirmed its earlier ruling, stating that the SEC is not required to provide personal correspondence from employees, such as emails:
“The SEC need not produce informal intra-agency communications, such as emails, and such communications need not be searched or logged.”
The SEC must produce communications with third parties, including external agencies and market participants, subject to a privilege assertion.
The judge added:
“Intra-agency memoranda or formal position papers discussing Bitcoin, Ethereum, and XRP must be searched for and produced subject to a privilege assertion. Examples of such documents include Division reports, final reports of internal working groups, or formal position papers submitted to the Commissioners.”
The SEC was seeking an order that would prohibit Ripple from searching the staff’s personal devices.
In its Apr. 21 letter, the regulatory watchdog claimed that the company was requesting random and irrelevant communications that extend beyond the court’s Apr. 6 order, accusing it of harassment.
In particular, Ripple demanded emails from former SEC Chair Jay Clayton:
“There is no basis to believe that SEC employees used personal email accounts or devices to express agency interpretations or views on Bitcoin, ether, or XRP to the market.”
At the same time, the judge has ruled that the SEC has to produce formal position papers and internal memos that mention Bitcoin, Ethereum, and XRP, delivering a legal setback to the regulator. The agency also must turn over its external communications with foreign counterparts and market participants.
Netburn is yet to rule on whether or not the SEC can send Memorandum of Understanding (MoU) requests to foreign regulators.
You can see the XRP price here.
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