Attorney Fred Rispoli speculates that the Securities and Exchange Commission (SEC) can still revive its case against Ripple execs if it wins on appeal.
Pro-XRP lawyer Fred Rispoli has once again commented on the SEC’s decision to drop charges against Ripple execs Chris Larsen (chairman) and Bradley Garlinghouse (CEO).
As reported by The Crypro Basic, Judge Analisa Torres signed the order officially dismissing the case against the executives.
Consequently, Attorney Rispoli said he recently discovered that the charges dropped by the SEC only relate to the role played by Larsen and Garlinghouse during Ripple’s institutional sales of XRP, which the court found to be an investment contract.
SEC Can Still Sue Ripple Execs If it Wins Appeal
He noted that the aiding and abetting charges filed against Garlinghouse and Larsen under the programmatic sales of XRP and other distribution categories were automatically dismissed after the court ruled that those transactions did not violate the law.
However, Attorney Rispoli speculated that the charges could be revived if the SEC wins the appeal on programmatic sales and other distributions.
As the judge ruled in Ripple's favor on Programmatic Sales and Other Distributions, the claims against BG & CL for those 2 categories automatically died at that point…but could theoretically be revived IF the SEC appeals AND wins on overturning PS and OD #XRP transactions. 2/4
— Fred Rispoli (@freddyriz) October 23, 2023
Conversely, the top lawyer emphasized that the SEC cannot sue Larsen and Garlinghouse under the institutional sales category, irrespective of the outcome of its potential appeal.
Per Rispoli, the SEC cannot sue Ripple’s execs under the institutional sales of XRP category because it dismissed the case with prejudice.
Furthermore, Attorney Rispoli expressed doubts that the SEC made a sloppy decision by dismissing the charges against Ripple execs under the institutional sales category.
“I think this is more proof the SEC is going to–as Water T would say– ’crunch the numbers’ and wrap this one up for good,” he added.
…include Institutional Sales in the dismissal? I doubt it. I think this is more proof the SEC is going to–as Water T would say–"crunch the numbers" and wrap this one up for good. 4/4 pic.twitter.com/NjmO4XwwV8
— Fred Rispoli (@freddyriz) October 23, 2023
No Appeal Yet
It bears mentioning that the SEC has yet to file an appeal officially. Speculations are rife that the SEC could appeal the ruling on programmatic sales and other distributions.
The SEC has expressed dissatisfaction over the July 13 ruling and has attempted to file an immediate appeal. However, the court denied the request, ordering the commission to wait for the final judgment.
Dismissing the charges against Ripple execs draws the SEC closer to filing an appeal if it wishes. The remedies stage is the next phase of the case. In this phase, the court will determine the exact amount Ripple will pay for violating the laws via the sale of $770 million worth of XRP to institutional investors.
XRP Soars to Daily High of $0.55
Meanwhile, XRP recorded massive gains over the past 24 hours. The fifth-largest cryptocurrency surged from a 24-hour low of $0.522 to a daily high of $0.557.
In the meantime, the price of XRP has retraced below $0.55 as bears continue to target the $0.5042 support level. At the time of writing this line, XRP was changing hands at $0.541, up 3.2% over the past 24 hours, according to CoinGecko data.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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