SEC Reworks Justin Sun Tron Lawsuit, Claims Founder “Traveled Extensively”
The United States Securities and Exchange Commission (SEC) has edited its Tron lawsuit against Justin Sun and his crypto companies, Tron Foundation, the BitTorrent Foundation, and Rainberry, following his attempted dismissal of the litigation late last month, amended court docs filed on Thursday reveal.
In the updated court filings, the SEC claims that the Tron founder “traveled extensively” to the U.S. throughout “his work on behalf of the Tron Foundation, the BitTorrent Foundation, and/or Rainberry.”
Big news in the crypto world! SEC revamps lawsuit against Tron founder Justin Sun for alleged sale of unregistered securities via Tron and BitTorrent tokens. Sun denies allegations, challenging SEC's jurisdiction. Complex legal battle ahead in the cryptocurrency industry.
— Kelvin Zinck (@KelvinZinck) April 19, 2024
The original lawsuit alleges Sun and the aforementioned crypto entities broke federal law by offering and selling unregistered securities in the form of Tronix (TRX) and BitTorrent (BTT).
In his March dismissal, Sun largely argued that the federal agency was overstepping its authority in attempting to prosecute him, citing jurisdictional overreach.
“The SEC is not a worldwide regulator,” lawyers for Sun wrote in the March 28th dismissal. “Its efforts to leverage highly attenuated contacts to the United States, to extend U.S. securities laws to cover predominantly foreign conduct, go too far and should be rejected.”
In addition to Sun, several notable celebrities including Lindsay Lohan, Jake Paul, and Austin Mahone, were charged “for illegally touting TRX and/or BTT without disclosing that they were compensated for doing so.”
The SEC’s amended lawsuit against Tron arrives amidst growing criticism of its
