Ripple Scores Major Win Against SEC as Judge Authorizes William Hinman's Deposition

Magistrate Judge Sarah Netburn has ordered the deposition of William Hinman, former director of the U.S. Securities and Exchange Commission's Division of Corporation Finance during a recent hearing.

As reported by U.Today, the SEC argued that approving Hinman's testimony would set a dangerous precedent that could deter other lawyers from taking public service jobs.

However, Netburn notes that this is not “a run of the mill” enforcement case, adding that there is huge public interest in its resolution.

She claims that the deposition is not supposed to affect other departments.

While Hinman was recently scheduled to be deposed on July 19, his testimony has been postponed by the judge so that the parties can work out its scope in advance.

Hinman will likely be asked to clarify whether his 2018 speech about Ethereum not being a security is official or not.

During the hearing, the SEC mentioned that it hadn't made a decision on Ether's regulatory status at that time. The watchdog is adamant that Hinman's speech contained his personal remarks.