The post Coinbase Accuses SEC of ‘Erroneous Denials’ in Delayed FOIA Request appeared on BitcoinEthereumNews.com.

Coinbase has filed a motion in the U.S. District Court of Columbia, accusing the U.S. Securities and Exchange Commission (SEC) of withholding key documents and using unjustified delays to obstruct access to information vital for its defense. In the Oct. 15 filing, the exchange claims the SEC improperly relied on FOIA Exemption 7(A) and is now proposing an unreasonable three-year review to reassess the withheld documents. The U.S. Freedom of Information Act (FOIA), enacted in 1966, allows public access to records from any federal agency. But there are some notable exceptions. One of the nine exemptions, the aforementioned 7(A), allows agencies to withhold documents relevant to law enforcement purposes. In other words, the SEC is now claiming that satisfying Coinbase’s public records request would interfere with ongoing law enforcement proceedings. The new filing draws parallels to the SEC’s rejection of a separate motion filed by Coinbase in August 2024, which sought internal communications, including those from SEC Chairman Gary Gensler. “The SEC’s stonewalling leaves History Associates no choice but to press forward challenging the agency’s already-final, erroneous denials,” Coinbase wrote in its filing. Meanwhile, the SEC has called Coinbase’s separate subpoena request for additional documents as “overreaching” and burdensome. In July and August 2023, Coinbase submitted FOIA requests seeking internal SEC records related to Ethereum’s transition to proof-of-stake and earlier enforcement actions involving firms such as Enigma MPC and Zachary Coburn. The motion states the SEC denied the requests, citing Exemption 7(A), which protects records tied to active law-enforcement proceedings. After Coinbase filed a lawsuit in June 2024 challenging these denials, the SEC conceded that the exemption “may” no longer apply due to unspecified developments. On Tuesday, Paul Grewal, Coinbase’s Chief Legal Officer, voiced his frustration on Twitter. Over a year ago we made FOIA requests aimed at files on…

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Filed under: News - @ October 16, 2024 8:24 pm