Ripple's Chief Legal Officer speaks out against Gary Gensler
Ripple's Chief Legal Officer speaks out against Gary Gensler
Securities and Exchange Commission (SEC) Chairman Gary Gensler spoke at the Securities Enforcement Forum. He emphasized that the agency remains committed to supporting honest businesses and opposing any dishonesty.
Mr. Gensler cited quotes from several notable people, including former heads of the SEC. One of the most interesting quotes was, "We shall not prejudge, but we shall investigate".
Stuart Alderoti, General Counsel of Ripple Labs, criticized the SEC Chairman. Alderoti wrote a commentary on Gensler's remarks, calling attention to the reality of the current standoff between the company and the regulator.
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Alderoti highlighted Ripple's recent successes in its legal battle with the SEC while comparing Gensler to a famous movie villain: Col. Nathan R. Jessup from the play "A Few Good Men."
He said the Ripple verdict was predjudged "based on compromised Hinman's Bill," according to Coingape.
Hinman, who has played a key role in regulating the status of cryptocurrencies, has been accused of a potential conflict of interest because of his ties to the law firm mentioned in the case against Ripple.
Alderoti also pointed to the SEC's failures on various legal fronts, court rulings that have not gone in the SEC's favor, and even reprimands for questionable actions and comments that have been deemed improper by judges. In particular, he called attention to the agency's inconsistent approach to handling accounting reports related to cryptocurrencies.
Alderoti noted that the SEC sued Ripple and many other companies without any prior investigation.
In addition, Stuart Alderoti's tweet drew attention to the SEC's recent troubles and the criticism from members of Congress and lawmakers who have accused the SEC of overstepping its authority.
Alderoti also recalled the judges' comments about the regulator's "questionable behavior."
The most controversial point Alderoti highlighted was the SEC's role in the case against Sam Bankman-Fried, the scandal-plagued head of the bankrupt FTX cryptocurrency exchange. In this case, the SEC failed to play a significant role on the international stage, in particular due to the failure to disclose details of meetings with Bankman-Fried.
Recall that Ripple CEO Brad Garlinghouse also previously criticized the SEC for shifting its focus from more important issues and failing to protect U.S. users and businesses while holding secret meetings with companies like FTX.
Read also: Technical indicators point to a possible rise in ETH to $2,120.
