The rising tensions amidst the legal conflict between Ripple and the U.S. Securities and Exchange Commission (SEC), has led to XRP holders running a petition on social media platforms like X. The petition carrying the tag “Stop the SEC’s Unnecessary and Frivolous Appeal in the Ripple v. SEC Case” has received nearly 5000 signatures.
Successively, the XRP holders are also factoring in the possibilities of them suing the SEC. Attorney Fred Rispoli, in the latest podcast with Thinking Crypto, explored the outcome of the petition and whether individual investors could file a lawsuit against the SEC.
Can a Petition Against the SEC Succeed?
In his podcast, Rispoli, replied ‘yes’, when asked if a petition against SEC succeed. But also noted that it’s just hard to win and he thinks there is a chance. He noted that John Deaton had 75,000 people that have signed up, he could choose to file a case against the SEC but it’s difficult as they have to prove that they went outside the bounds of what their government jobs were.
“And there are certainly some arguments to make that happen, especially as the revolving door has become a little more grotesque and easily, more easily able to be discovered through civil discovery, for example. But that happened in the Madoff case, where everybody that got screwed by Madoff sued the SEC and they lost on the grounds that the SEC was immune and the opinion was scathing. The second circuit said the SEC was incompetent, imbecilic, and derelict in their duties, but they were just bad at their jobs. They didn’t go outside of the range where they could be liable, civilly liable for that.”
He noted that the case was then closed. So there is a chance, but it’s a difficult one, although he wouldn’t want anybody else leading that charge other than Mister Deaton himself. He remarked that there are a lot of things that would help out if he were able to help as a senator. Not just the case specifically, but to root out corruption and add transparency in the SEC.
