The US Securities and Exchange Commission (SEC) and Binance, a cryptocurrency exchange, have jointly submitted a response opposing the intervention of a third-party entity, “Eeon,” in their ongoing lawsuit.
Eeon had sought to intervene on behalf of customers, but both the SEC and Binance argue that the entity fails to meet the legal requirements for intervention and consent. As such, they are opposing Eeon’s petition to intervene in the case.
The US SEC and Binance Stand Together Against Eeon Petition
According to the District Court for the District of Columbia, both Binance, the defendant, and the US SEC, the plaintiff, have opposed Eeon’s attempt to intervene in their ongoing lawsuit.
Binance has cited three reasons for dismissing Eeon’s petition: lack of consent from the SEC, failure to identify as a real party in interest, and failure to meet the legal requirements for intervention. Additionally, Binance argues that Eeon’s counter-claim contains vague allegations that are unrelated to the case at hand.
The US SEC has argued that Eeon, the entity seeking to intervene in their lawsuit with Binance, is a serial pro se litigant whose causes have consistently failed to gain traction in federal courts.
The SEC has requested that the court deny Eeon’s petition on several grounds, including that the Exchange Act prohibits private litigants from intervening, that Eeon’s participation will not impact the lawsuit as its claims align with the defendant’s arguments, and that Eeon fails to meet the legal requirements for intervention.
Furthermore, the SEC contends that Eeon’s counterclaims seeking relief against both the SEC and Binance are unfounded. Both the plaintiff, the US SEC, and the defendants, Binance and its CEO Changpeng “CZ” Zhao, are united in their opposition to Eeon’s attempt to intervene in their ongoing lawsuit.
In a separate development, Binance has filed a motion to dismiss a lawsuit brought against it by the US CFTC, arguing that the CFTC lacks jurisdiction over the global cryptocurrency exchange and its CEO. However, due to court deadlines for the submission of responses by both the CFTC and Binance, any decision on the motion to dismiss is likely to be delayed until next year.
