A federal judge overseeing the civil case between the United States Securities and Exchange Commission (SEC) and cryptocurrency exchange Binance, Binance.US and Binance CEO Changpeng Zhao has ordered a motion for a protective order to go to a magistrate judge.
In an Aug. 16 filing in the U.S. District Court for the District of Columbia, Judge Amy Berman Jackson said she would be referring a motion for a protective order against the SEC filed by lawyers for Binance.US to Magistrate Judge Zia Faruqui for a resolution. Binance.US’ legal team filed the motion on Aug. 14, claiming at the time the order was necessary to protect the firm from the SEC’s “fishing expedition” during discovery.
Prior to Jackson’s ruling, former SEC Internet Enforcement Chief John Reed Stark took to X (formerly Twitter) to speculate the matter would be referred to a magistrate judge ahead of any legal or public pushback from the commission. At the time of publication, the SEC had not filed any motions in response to Binance.US’ request.
“Though every case is different, in most large financial investigations and civil enforcement actions, the SEC’s request for documents, testimony, depositions, interrogatories, etc. typically ask for a bit too much information,” said Stark. “Along the same lines, the defendant typically asks for a bit too much by way of a protective order.”
What Will Likely Happen Regarding Binance’s Recent Motion for a Protective Order In The SEC/Binance Case
There’s clearly a discovery storm brewing between the SEC and Binance. Among other gripes, the U.S. arm of crypto exchange Binance Holdings is fighting an attempt by the U.S.… pic.twitter.com/LzTjsMeMWp
The crux of the order was based on the SEC requesting information from Binance.US related to the custody, security and availability of user assets. The firm has claimed the information was not relevant to the SEC’s case, which was filed in June over alleged unregistered securities offerings.
Binance and Zhao face a lawsuit from the Commodity Futures Trading Commission, for which they filed motions to dismiss in July. The global exchange is also reportedly under investigation by the U.S. Department of Justice for allegedly allowing Russian entities to use its platform.
Canterbury MP Rosie Duffield has resigned from the Labour Party.
The 53-year-old MP is the first to jump ship since the general election and in her resignation letter criticised the prime minister for accepting thousands of pounds worth of gifts.
She told Sir Keir Starmer the reason for leaving now is “the programme of policies you seem determined to stick to”, despite their unpopularity with the electorate and MPs.
In her letter she accused the prime minister and his top team of “sleaze, nepotism and apparent avarice” which are “off the scale”.
“I’m so ashamed of what you and your inner circle have done to tarnish and humiliate our once proud party,” she said.
Since December 2019, the prime minister received £107,145 in gifts, benefits, and hospitality – a specific category in parliament’s register of MPs’ interests.
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Ms Duffield, who has previously clashed with the prime minister on gender issues, attacked the government for pursuing “cruel and unnecessary” policies as she resigned the Labour whip.
She criticised the decision to keep the two-child benefit cap and means-test the winter fuel payment, and accused the prime minister of “hypocrisy” over his acceptance of free gifts from donors.
“Since the change of government in July, the revelations of hypocrisy have been staggering and increasingly outrageous,” she said.
“I cannot put into words how angry I and my colleagues are at your total lack of understanding about how you have made us all appear.”
Ms Duffield also mentioned the recent “treatment of Diane Abbott”, who said she thought she had been barred from standing by Labour ahead of the general election, before Sir Keir said she would be allowed to defend her Hackney North and Stoke Newington seat for the party.
Her relationship with the Labour leadership has long been strained and her decision to quit the party comes after seven other Labour MPs were suspended for rebelling by voting for a motion calling for the two-child benefit cap to be abolished.
“Someone with far-above-average wealth choosing to keep the Conservatives’ two-child limit to benefit payments which entrenches children in poverty, while inexplicably accepting expensive personal gifts of designer suits and glasses costing more than most of those people can grasp – this is entirely undeserving of holding the title of Labour prime minister,” she said.
Ms Duffield said she will continue to represent her constituents as an independent MP, “guided by my core Labour values”.