TechFlow reported, according to CoinDesk, that the U.S. Securities and Exchange Commission's (SEC) Salt Lake City office will close following controversy over its failed fraud lawsuit against DEBT Box in the cryptocurrency space, amid reports of "significant staff attrition." Some employees were reportedly fired due to this case. Previously, SEC attorneys Michael Welsh and Joseph Watkins were sanctioned by a federal judge for "abuse of power" over attempts to freeze the assets of Utah-based crypto firm DEBT Box using misleading justifications, and both resigned in April.
Last week, the judge dismissed the case and ordered the SEC to pay DEBT Box $1.8 million in legal fees. The SEC stated the closure is based on budgetary and organizational efficiency considerations, and emphasized no other regional offices will be closed. Moving forward, enforcement jurisdiction will transfer to the SEC's Denver office.
