US SEC Claims Telegram’s Refusal to Release Important Case Information
On the 2nd of January 2020, the US SEC filed a court order against telegram to release information on how it spent its funds from its Initial Coin Offering. The ongoing case took a new shape as the commission is seeking legal means of getting information related to the case.
As per the SEC, the $1.7 billion raised by Telegram from the sales of Gram tokens consisted of unregistered securities sales.
US SEC Requests ICO Spending Information from Telegram
The SEC is requesting testimony and records from Telegram regarding the sum of money sources and how it used investors’ funds. It maintained that the defendants refused to disclose the bank records regarding how they spent the money and the disposition of investors’ funds.
Three months ago, a report announced emergency action by the commission against Telegram alleging that its Gram token offering was indeed an unlicensed securities sale. Hence, it delayed the TON blockchain’s launching, despite Telegram’s denial that the tokens are securities. SEC claims that Telegram providing the requested records will help in the ongoing case.
by Wayne Jones
by Olowoporoku Adeniyi
by Olowoporoku Adeniyi