Elementos generales
Palabras exactas
Búsqueda en el título
Búsqueda en el contenido
Búsqueda en el resumen
Filter by Categorías
Crypto News Noticias Criptomonedas
Noticias Ethereum
Token Alertas
NFT news Noticias de NFTs
Videos Crypto World Alerts
Best Crypto Sport Gaming
Tenemos empleo Criptomonedas
Noticias de Allmedgroup

Noticias de Ethereum SEC vs. Terraform Labs: Court to Decide on Multi-Billion Dollar Penalties for Terraform Labs After Fraud Verdict

Curador Noticias Crypto

Soy el curador de las Noticias Crypto de CryptoWorldAlerts. Si el documento o el contenido infringe cualquier derecho de autor, por favor señálelo en comentarios y será rápidamente borrado. A todos los artículos les incluimos el link del Recurso que consta como Source Link Si el presente artículo, video o foto intrigue cualquier derecho de autor por favor señálelo al correo del autor o en la caja de comentarios.

After a jury found Terraform Labs and Do Kwon guilty of fraud, a judge scheduled a hearing on May 22 to discuss penalties. The court will hear points about why the SEC wants almost $5.3 billion in fines, and Terraform’s legal team only wants $1 million.

In response, Terraform’s legal team advocates for a significantly lower penalty of just $1 million. On April 29, Judge Jed Rakoff ordered the SEC, Kwon, and Terraform to appear in court on May 22. They’ll discuss suggested remedies after the jury verdict. The ruling allows changes to previous motions for penalties. 

Here’s what’s next!

Court Orders Talks on Billion-Dollar Remedies

As per the recent court order, both parties will discuss proposed remedies ranging from millions to billions of dollars. This underscores the immense financial stakes of the case.

The SEC’s recommended disgorgement and prejudgment interest amount to a staggering $4.7 billion, coupled with civil penalties totaling $520 million. Conversely, Terraform’s proposal seeks a nominal $1 million civil penalty without requesting disgorgement. 

Can the SEC Win? 

However, according to reports, the SEC has enough proof to firmly persuade the court that Terraform Labs lied to investors about the stability of its cryptocurrency coin and refused to acknowledge that other companies were working harder to keep the cryptocurrency market alive. In early April, a Manhattan jury sided with the SEC, agreeing that Terraform Labs misled investors about its coins under Kwon’s plan.

Now that the case is in the remedies stage, both parties have been granted an extension until May 6 and May 1, respectively, to submit supplementary filings supporting their proposals.

Terraform’s Double Trouble!

On the other hand, the upcoming meeting is clouded by questions about Kwon’s possible attendance. Kwon is still in Montenegro, and extradition requests from the US and South Korea are being reviewed. He can’t go to the trial in person because he was arrested there in 2023 for using fake travel papers. Because of this, it is still unclear whether he will be in court on May 22.

Meanwhile, Terraform’s financial woes have been doubled by ongoing bankruptcy proceedings initiated with the filing for Chapter 11 protection in January. The company’s financial status, with estimated liabilities and assets ranging from $100 million to $500 million, underscores the gravity of the situation.

At the same time, the forthcoming hearing on proposed remedies signifies a critical juncture in the legal tango between Terraform Labs, Do Kwon, and the SEC. The situation is critical since it represents market health and investors’ faith in crypto assets.

Link del artículo original
Si el presente artículo, video o foto intrigue cualquier derecho de autor por favor señálelo al correo del autor o en la caja de comentarios.


Crypto Review


Share This