TechFlow news, November 19 — According to Coindesk, a California judge has rejected Kraken's motion for an interlocutory appeal. Monday's ruling stated that allowing the appeal would only "delay" the resolution of the case brought by the U.S. Securities and Exchange Commission (SEC) against the cryptocurrency exchange.
Kraken filed the motion for interlocutory appeal in September, after Judge William Orrick of the U.S. District Court for the Northern District of California ruled that the SEC had reasonably alleged that certain cryptocurrencies sold on the Kraken platform could be securities under the Howey Test.
In his decision, Orrick emphasized that granting an interlocutory appeal is "entirely discretionary," and concluded that such an appeal would not materially accelerate the conclusion of the litigation.
The SEC sued Kraken last November, accusing it of operating as an unregistered securities exchange, broker, dealer, and clearing agency, and seeking disgorgement of ill-gotten gains, civil penalties, and a permanent injunction against the exchange. Kraken denied any wrongdoing and moved to dismiss the case, but that request was rejected in August.
