As the American financial regulators toughen their grip around Ripple, It has filed another memorandum strongly opposing the XRP holders’ intervention in the ongoing lawsuit against the company and its top officials.
In its document, the US SEC maintained that the holders of the coins could not appear in the court as “amici curiae,” arguing that the investors’ interests align with those of the accused.
John Deaton, a prominent member of the movants’ counsel, was also accused by the American regulator of attacking the commission. Not only that, but in its first reply to the court, the American financial regulator accused Deaton of indulging in physical violence. It said,
On March 3, 2021, Deaton posted a video that he described as a “mock cross-examination” of Chairman Clayton containing many inflammatory statements, including about supposed drug use, and that Deaton “might have to walk over and slap the [profanity] out of” Chairman Clayton.
On the other hand, XRP holders have accused the SEC of portraying Deaton as a violent conspiracy theorist. They further denied inciting violence on any occasion, arguing that Deaton’s tweets and his comments were merely satirical.
Plus, the movants also maintained that Ripple is not adequately representing them, even though they have “cognizable interest” in the ongoing case.