The order requires Tether to provide “general ledgers, balance sheets, income statements, cash-flow statements, and profit and loss statements,” as well as records of any transactions of cryptocurrencies or other Tether stablecoins, including information about the timing of transactions.
It also asked Tether to share details about holding accounts at Bitfinex, Poloniex, and Bittrex.
While attorneys representing Tether have opposed the order, calling it “incredibly overboard” and “unduly burdensome”, the presiding judge disagreed, writing that the “documents Plaintiffs seek are undoubtedly important.”
“[The] Plaintiffs plainly explain why they need this information: to assess the backing of USDT with US dollars,” wrote Judge Katherine Polk Failla.
“The documents sought in the transactions RFPs appear to go to one of the Plaintiffs’ core allegations: that the … Defendants engaged in cyptocommodities transactions using unbacked USDT, and that those transactions “were strategically timed to inflate the market,” the Judge added.
Previously, there was also a lawsuit asking the New York Attorney General to release documents they collected during the investigation into Tether’s reserves.
The New York Attorney General’s probe into Tether’s reserves ended in February 2021 with a fine of $18.5 million.
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