- The court has granted the SEC’s request to obtain financial statements from Ripple Labs for the years 2022-2023.
- Previously, Ripple Labs claimed that this information was confidential and irrelevant to the proceedings.
According to legal news service Law360, Judge Sarah Netburn has ordered Ripple Labs to provide the US Securities and Exchange Commission (SEC) with financial statements for 2022-2023. The court justified its decision by stating that the information requested is readily available and can serve as evidence for compensation claims.
“At this stage, the court sees no reason to impede the investigation by refusing a request for readily available information that can serve as evidence at the stage of compensation for damages,” the decision states.
Additionally, Ripple Labs is required to disclose data regarding institutional sales of its XRP token. The deadline for submission is set for February 12, 2024.
“Because the SEC has provided ample evidence that this information may assist the court in developing remedies, the company must respond,” emphasized Judge Netburn.
The SEC initially filed the request for financial statements in early January 2024. Ripple Labs argued that the information is confidential and the regulator’s appeal came too late.
Back in July 2023, Ripple Labs achieved a partial victory in a lawsuit brought by the SEC, as the court deemed that the retail sales of XRP did not violate securities laws.
Nevertheless, the trial is ongoing, and the next court session, focusing on institutional sales of XRP, is scheduled to take place in April 2024.
In response to the court’s decision, the value of the XRP token experienced a slight dip. As of now, it is trading at $0.5, according to data from TradingView:
XRP/USDT exchange rate on Binance. Source: TradingView