New York Attorney General Letitia James has asked a New York judge to order crypto companies iFinex, Bitfinex and Tether to have records ready and on hand, if they lose their November 4th appeal:
“(T)he OAG respectfully requests that this Court…(to) issue an order that Respondents search for and collect all documents and information called for by the 354 Order, so that upon any lifting of the stay those materials are immediately produced to the OAG without further delay.”
The New York Attorney General’s office has been trying to obtain comprehensive business records from affiliated crypto companies iFinex, Bitfinex and Tether since April as part of an investigation into alleged fraud.
Prosecutors investigating an allegedly undisclosed loan from Tether’s reserves to Bitfinex obtained ex parte orders compelling the companies to produce the records under powerful New York State Martin Act securities laws.
Tether makes a stablecoin cryptocurrency called tethers (USDT). Until recently, Tether has always claimed that every tether it issues into crypto markets is 100% backed by equivalent US dollars held in reserve.
But the company has never produced a credible audit, and critics have wondered aloud for years whether Tether has simply been issuing an unbacked, essentially counterfeited, form of USD- and for what purpose.
More than four billion tethers have been issued, and these were initially released onto the Bitfinex crypto exchange, where they were used to buy Bitcoins and other cryptocurrencies.
Use of tethers has also been credibly linked to market manipulation in crypto.
Since the advent of the case against the Seychelles ..
Support the originator by clicking the read the rest link below.
