The latest development in the litigation between the U.S. Securities and Exchange Commission (SEC) and Terra and Do Kwon is that the SEC has requested that the court deny the defendants’ motion to dismiss the lawsuit.
US SEC Requests a Summary Judgment in the Case of Terra and Do Kwon
Seven of the most recent filings by the U.S. Securities and Exchange Commission (SEC) were submitted to the District Court for the Southern District of New York on November 7.
Every memorandum of law that has been filed opposes the motions and non-motions that the defendants Terraform Labs (TFL) and Do Kwon have requested.
The SEC has requested summary judgment from the court.
It asserts that uncontested record evidence supports the claim that Do Kwon and TFL defrauded $45 billion from investors by violating securities and exchange laws.
The SEC has requested that the court deny all requests made by Terra and Do Kwon in their motions and non-motions.
This provides the defendants with summary judgment and the dismissal of the lawsuit.
Formerly, the SEC contended that Terraform and Do Kwon were responsible for the development of the Terra blockchain and associated crypto asset securities, the marketing of crypto assets, including LUNA (presently LUNC), wLUNA, and UST as securities, and the public offering of LUNA.
Furthermore, the defendants engaged in the direct sale of LUNA and MIR on public trading markets, all the while deceiving and misrepresenting investors regarding Chai and depegging events scheduled for 2021 and 2022.
Terra Ecosystem Tokens Still Under Pressure
Despite the recent recovery of the crypto market, Terra ecosystem tokens continued to be under pressure.