Legal
Two SEC Lawyers Resign After Agency Censured for Abuse of Power in Crypto Case
- Judge sanctioned regulator for ‘gross abuse of power’ in March
- Utah crypto firm was put into receivership on staff’s advice
The US Securities and Exchange Commission headquarters in Washington, DC.
Photographer: Samuel Corum/BloombergThis article is for subscribers only.
Two Securities and Exchange Commission lawyers resigned after a federal judge sanctioned and sharply rebuked the Wall Street regulator for “gross abuse” of power in a crypto case.
Michael Welsh and Joseph Watkins stepped down this month after an SEC official told them that they would be terminated if they stayed, according to people familiar with the matter. The pair were lead attorneys on a case against Digital Licensing Inc., a crypto platform known as DEBT Box.