The judge denied Binance’s request to stop the SEC from using certain language in press releases about Binance.US’s management of customer funds.
Judge Jackson told the SEC that it is not the court’s job to “wordsmith” public statements made by Binance.US.
The court stated that there is no need to remind lawyers of their ethical obligations at this time. It is also unclear whether the PR statements published so far will have a material impact on the proceedings.
BAM Trading’s lawyers filed a complaint on Friday, alleging that the SEC’s press release was misleading and extrajudicial.
The SEC’s press release is likely to confuse investors and harm BAM customers, according to Binance’s lawyers.
The court has set a deadline for the next round of filings in the case. Binance must file its responsive pleadings by September 21, and the SEC must file its oppositions by November 7. All replies are due by December 12.
It’s still unclear how the lawsuit will turn out.
The SEC’s case against Binance is moving quickly, and the latest developments are sure to have a significant impact on the industry.
The SEC sued Binance and related parties on June 5 and then asked the court to restrict the movement of Binance.US-related funds. However, Binance and the SEC later reached an agreement that placed fewer restrictions on company and customer funds.
The SEC released a press release on June 21, confirming that the agency and Binance had reached an agreement on the movement of Binance.US-related funds.
Binance quickly responded to the SEC’s press release, alleging that it contained misleading facts. The SEC’s announcement specifically suggested that Binance members could have “commingled” or “diverted” funds and that the court had found the relevant allegations to be true. However, the case is still ongoing, and Binance denies these allegations.
Due to this Binance is fighting back against the SEC, alleging that the agency is making misleading statements about the company. The judge rejected the company’s request to have the SEC restrained from making these claims.