Binance U.S Reportedly Hires Former SEC Official Amid Ongoing Lawsuit
Summary: Binance US has reportedly hired a former enforcement officer, George Canellos, formerly of the SEC and now with Milbank LLP, as part of its legal team to defend itself against charges of operating as an unregistered securities exchange by the U.S SEC.
As part of its legal team to defend itself against charges of operating as an unregistered securities exchange, the Binance US reportedly hired a former enforcement officer amid the United States Securities and Exchange Commission (SEC) lawsuit.
Binance.US has reportedly employed four attorneys, including George Canellos, formerly of the SEC and now with the international legal firm Milbank LLP. After more than four years in top roles at the SEC, Canellos departed in 2014.
Recruiting Top Defense Lawyers
Moreover, John Reed Stark, a former head of the SEC’s internet enforcement division, tweeted that it is obvious that Binance is getting ready for a criminal prosecution by continuing to employ the top defence lawyers in the world.
Also, a DOJ prosecutor would likely pursue jail time for anybody convicted or pleads guilty to crimes linked to Binance, given the severity of the fraud charged by the CFTC and SEC as per John.
The inclusion of Canellos in the Binance US Legal representation from the United States arrives as the SEC sues the American company for failing to register as an exchange, broker, and clearing agency.
Extremely Aggressive and Intimidating Tactics
The SEC tried to get a temporary restraining order to freeze the assets of the U.S. exchange by making claims against Binance, a worldwide exchange, and Coinbase, a U.S. exchange.
As a result of the SEC’s efforts, Binance.US stated on June 9 that it would be freezing U.S. dollar deposits and possibly freezing fiat withdrawals beginning on June 13. The SEC’s “extremely aggressive and intimidating tactics” were mentioned as the cause for the exchange’s decision.
Lawmakers and business executives in the United States have blasted the Securities and Exchange Commission (SEC) for its “heavy-handed” attitude to crypto enforcement. In a measure introduced on June 12 to reorganize the SEC, Representative Warren Davidson called for sacking of SEC Chair Gary Gensler.