Lawyer claims SEC used unethical tactics in Ripple lawsuit

The legal battle between Ripple (CRYPTO:XRP) and the U.S. Securities and Exchange Commission (SEC) continues, drawing significant attention from the crypto community.

The lawsuit, which began in December 2020, involves allegations that Ripple, its CEO Brad Garlinghouse, and co-founder Chris Larsen raised over $1.3 billion through an unregistered securities offering by selling XRP.

John Deaton, a lawyer representing thousands of XRP investors in the case, recently spoke out about the SEC’s conduct during the litigation.

Deaton accused the SEC of engaging in unethical behavior, stating that the agency “played dirty” and crossed “ethical limits.”

According to Deaton, the SEC’s attorneys resorted to “abusive discovery tactics,” including attempting to subpoena the personal financial records of Garlinghouse and his family, even though they already had transaction records of XRP dealings involving Garlinghouse.

Deaton suggested that these actions were an attempt to intimidate and pressure Garlinghouse and Ripple into complying with the SEC.

Despite these tactics, Deaton praised Garlinghouse for his resolve.

He described how Garlinghouse “fought back every step of the way” and endured the SEC’s pressure.

Deaton’s comments were accompanied by a photograph of Garlinghouse with President-elect Donald Trump and Ripple’s CTO, Stuart Alderoty, which some interpreted as a hopeful sign for Ripple's future.

Ripple has secured several partial victories in the case, though a final decision has not yet been reached.

Last summer, Ripple was fined $125 million for violations tied to institutional XRP sales, but a ruling determined that the company’s sales to retail clients via exchanges did not breach securities laws.

While the SEC appealed the decision in October, the outcome remains pending.

The upcoming changes in SEC leadership, including the potential appointment of Paul Atkins, could influence the case’s resolution.

At the time of reporting, the XRP (XRP) price was $2.38.