{"id":163975,"date":"2023-09-27T23:40:12","date_gmt":"2023-09-27T18:10:12","guid":{"rendered":"https:\/\/dripp.zone\/news\/sec-chair-gets-subpoena-threats-is-gary-gensler-hiding-info-on-ftx-crypto-news\/"},"modified":"2023-09-27T23:40:14","modified_gmt":"2023-09-27T18:10:14","slug":"sec-chair-gets-subpoena-threats-is-gary-gensler-hiding-info-on-ftx-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/sec-chair-gets-subpoena-threats-is-gary-gensler-hiding-info-on-ftx-crypto-news\/","title":{"rendered":"SEC Chair Gets Subpoena Threats; Is Gary Gensler Hiding Info on FTX? – Crypto News"},"content":{"rendered":"

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US Congressman Patrick McHenry has openly criticized SEC Chair Gary Gensler for his alleged lack of transparency. During his testimony before the US House Financial Oversight Committee, McHenry did not mince words as he expressed his dissatisfaction with Gensler\u2019s dealings with FTX and its founder, Sam Bankman-Fried.<\/span><\/p>\n

McHenry highlighted Gensler\u2019s refusal to share information regarding his interactions with the bankrupt cryptocurrency exchange with Congress. He emphasized Gensler\u2019s \u201clack of responsiveness,\u201d labeling it \u201cunacceptable\u201d in the context of Committee oversight. Under Gensler\u2019s leadership, the SEC has notably enforced regulations within the digital asset industry, engaging in multiple lawsuits against various entities.<\/span><\/p>\n

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However, McHenry pointed out that despite such vigilance, the SEC overlooked one of the same industry\u2019s largest financial crimes in US history. This has led to Congress seeking clarity and answers regarding the SEC\u2019s operations and decisions.<\/span><\/p>\n

McHenry Challenges Gensler\u2019s Silence on FTX Dealings<\/b><\/h2>\n

\u201cYou refuse to be transparent with Congress regarding your interaction with FTX and Sam Bankman-Fried,\u201d McHenry asserted. He <\/span>mentioned that the committee <\/span><\/a>had made multiple requests for documents to the SEC in February. Still, seven months later, they had not received \u201ca single non-public document that is not part of a FOIA production.\u201d<\/span><\/p>\n

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Gensler\u2019s ongoing lack of transparency regarding his communications with FTX has increased tension between the SEC and the Committee. McHenry emphasized that the SEC is \u201cnot above the law\u201d and that compliance from regulators is a routine aspect of Congressional oversight.<\/span><\/p>\n

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Senators Urge Gensler to Pause Crypto Rulemaking<\/b><\/h2>\n

McHenry\u2019s stern warning indicated that the committee\u2019s \u201cpatience is wearing thin.\u201d He called for a \u201cpath forward,\u201d urging the SEC to respond more to requests. He warned that the committee might have no choice but to issue the first congressional subpoena to the SEC if the current state of affairs continues.<\/span><\/p>\n

In a recent Ripple, CTO and legal chief Stuart Alderoty speculated that <\/span>Gensler will maintain his stance <\/span><\/a>on the legal compliance of XRP under securities laws during the U.S. House of Representatives Committee on Financial Services hearing. This, coupled with a group of US senators urging Gensler to halt rulemaking actions, has sparked discussions <\/span>about the potential ramifications <\/span><\/a>for the crypto industry.<\/span><\/p>\n

Also Read: <\/b>US Lawmakers Demand SEC Chair to Halt Rule Making<\/span><\/a><\/p>\n

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