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“Among the 66 documents, there could be something really bad that could destroy the SEC case,” Hogan suspects. It might justify legal gymnastics.
The SEC case against Ripple is littered with delays, mostly requested only by the Securities and Exchange Commission.
The main concern was the 2018 Ethereum documents by William Hinman, the former director of corporate finance for the SEC, and other records regarding the SEC’s views on the nature of digital assets, including XRP, ETH, and Bitcoin.
Ripple and the Securities and Exchange Commission have been arguing about this since early 2021, when the defendants were granted their motion to be compelled to provide such documents, and the Securities and Exchange Commission refused to comply, namely, arguing that they were protected by the privilege deliberative process (DPP).
THE 2018 SPEECH IS “AN ESSENTIAL LINK” IN THE SEC CONSULTING PROCESS.
In August 2021, Judge Sarah Netburn ordered a closed review to determine what can be considered privileged and what can be transferred. Former SEC Chief Financial Officer William Hinman’s infamous 2018 speech on the nature of Ethereum was taken by the court as his personal opinion.
Because of this, emails and drafts relating to this speech were ordered to be turned over to Ripple, prompting the SEC to request a motion for review; According to lawyer Jeremy Hogan, who usually takes two weeks to prepare, he shared video explaining the history of DPP in the XRP lawsuit.
In its request, the SEC not only asks for five weeks to file this motion, but argues that the speech was an “essential link” in the agency’s deliberative process.
“The SEC respectfully notes that these additional documents clarify the truly deliberative nature of the discussions around the Speech within the SEC and show that the Speech was not “simply secondary to the actual wording of the policy,” but in fact was an “essential link” in the SEC’s deliberative process regarding ether” and other digital assets.”
HINMAN DRAFTS OR SEC OFFICIAL POSITION ON AIR?
Jeremy Hogan came to the conclusion that in any case, the SEC would have to choose something: either drafts and emails of Hinman’s “personal opinion”, or the official position of the SEC, based on Hinman’s thought process.
“I had to read this a couple of times because the SEC was so adamant that Hinman’s speech was just his personal opinion and now they’re claiming it wasn’t, or that the SEC had or has an official position on the air that Hinman’s speech contributed to what?” Hogan asked.
“If so […] someone needs to tell Chairman Gensler about this because I don’t think he’s seen it yet. And if it exists, of course it’s the official position and Ripple can discover it, so maybe Ripple needs to see a copy of that Ethereum decision. I’m just saying…”
SOMETHING REALLY BAD THAT COULD DESTROY THE SEC BUSINESS.
In terms of delays, the recently requested extension may just be the tip of the iceberg.
“If Judge Netburn sticks to his original order that emails of Hinman’s speeches be turned over, the SEC could appeal that decision to Chief Justice Judge Torres, a process that will take at least another month, and that brings us to March or April. before this matter is closed with Judge Torres,” Hogan explained.
“And while all other discoveries could be completed by the end of February, how can Ripple file and complete a motion for a final ruling if it doesn’t already have all the evidence.”
The Florida lawyer then analyzed the SEC’s systematic refusal to release documents as a tactic. He found that the first two times the SEC denied delivery as “a little odd, but this last review proposal is not normal.”
So why the delaying tactics of the SEC? This is either pure pressure on Ripple, as the defendants are the only party suffering from the endless lawsuit, or it could be a defense against “something really bad against the SEC.”
“Among the 66 documents, there could be something really bad that could destroy the SEC case,” Hogan suspects. It might justify legal gymnastics.
#SEC #delay #tactic #Jeremy #Hogan #speaking
