Image courtesy of Binance Twitter page
Binance Holdings hires former DOJ prosecutor as legal representative in SEC lawsuit, reinforcing its defense against allegations.
The SEC charges Binance with mishandling customer funds, providing misleading information, and violating securities regulations, seeking the return of US customers’ cryptocurrency.
Strengthening the Legal Defense
In a significant move to combat the ongoing legal battle with the Securities and Exchange Commission (SEC), Binance Holdings Ltd., the world’s largest cryptocurrency exchange, has enlisted the expertise of a former white-collar prosecutor from the Department of Justice (DOJ). This strategic decision was revealed in a court filing released on Thursday, signaling Binance’s determination to confront the SEC’s allegations head-on. CoinGape had previously reported on Binance’s lawsuit countering the SEC’s misleading claims.
The newly appointed legal representative for Binance in the SEC case is M. Kendall Day, currently serving as a partner at the Washington DC office of Gibson Dunn & Crutcher. With an impressive background, Day brings extensive experience from his previous role as the acting deputy assistant attorney general at the Criminal Division of the DOJ, where he spent 15 years. His biography on the Gibson Dunn website highlights his tenure as the chief of the Money Laundering and Asset Recovery Section, where he oversaw anti-money laundering initiatives nationwide. This encompassed handling money laundering charges, deferred prosecution agreements, and non-prosecution agreements involving financial institutions.
Recognizing the gravity of the SEC lawsuit, Binance and its subsidiary Binance.US have been diligently strengthening their legal defense team. Alongside the addition of M. Kendall Day, the company has also secured the services of George Canellos, a former co-director of enforcement at the SEC.
Facing Allegations and Seeking Reparation
The allegations put forth by the SEC against Binance, its CEO Changpeng Zhao, and the affiliated exchange Binance.US revolve around claims of mishandling customer funds, providing misleading information to investors and regulators, and violating securities regulations. Furthermore, the SEC aims to recover cryptocurrency owned by Binance’s US customers.
The scrutiny from US regulatory agencies, including the Department of Justice, has been ongoing for Binance. Recently, Binance.US reached an agreement with the SEC that imposes restrictions on Binance Global officials’ access to customer funds. Binance’s CEO, Changpeng Zhao, expressed relief regarding this development in a tweet on June 17.
No spam, no lies, only insights. You can unsubscribe at any time.
With the hiring of M. Kendall Day, a former DOJ prosecutor, Binance demonstrates its commitment to mounting a strong defense against the SEC’s allegations. Day’s expertise and insights gained from his extensive experience in the DOJ’s Criminal Division, particularly in money laundering and asset recovery, provide Binance with a formidable legal representative.
As the billion-dollar lawsuit unfolds, the industry will closely monitor the developments and potential consequences for Binance and the broader cryptocurrency ecosystem.
Crypto News Flash does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to cryptocurrencies. Crypto News Flash is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned.
