Tezos ICO Cryptonews- SEC denies FOIA request on controversial Tezos ICO
Tezos ICO: A request for information regarding the Tezos ICO blockchain project was denied by the U.S. Securities and Exchange Commission (SEC) mentioning an exception generally applied to records collected for law enforcement activities.
A letter stating the denial was issued addressing the attorney, David Silver of the SilverMiller law firm, as a response to a request by the FOIA (Freedom of Information Act. It is known that Silver represents the plaintiff in a lawsuit filed last year; which is one such cases filed concerning the Tezos ICO.
As per Silver’s explanation, the letter evidences that the SEC is aggressively investigating the blockchain project, that has been shaken due to the governance crisis in the past few months. Silver commented that “Consistent with what [SEC chair] Jay Clayton said at the Senate hearing this week, I’m happy to learn that the SEC is investigating Tezos ICO, as many clients are going to eventually learn that their investments are worthless.”
According to sources, the U.S. securities regulator withheld the information concerning the Tezos ICO citing Exemption 7(A), that allows for exemptions for enforcement activities. Apparently, the SEC wrote that “This exemption protects from disclosure records compiled for law enforcement purposes, the release of which could reasonably be expected to interfere with enforcement activities. Since Exemption 7(A) protects the records from disclosure, we have not determined if other exemptions apply. Therefore, we reserve the right to assert other exemptions when Exemption 7(A) no longer applies.”
It is learnt that Silver has also filed lawsuits on behalf of customers of the currently defunct cryptocurrency exchange; Crypsty and Giga Watt.
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