HomeNewsCourt Orders Justin Sun's Companies to Pay SEC $10 Million Fine

Court Orders Justin Sun’s Companies to Pay SEC $10 Million Fine

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A U.S. federal court has issued a final judgment in a case involving Justin Sun and his companies. The Securities and Exchange Commission (SEC) had filed the legal action. As part of the ruling, Rainberry Inc., a company connected to Sun, has been ordered to pay a $10 million penalty to the SEC within 30 days. The defendants agreed to the court’s jurisdiction for settlement purposes without admitting or denying the allegations.


A U.S. federal court issued a final judgment in a case involving Justin Sun and three entities: Tron Foundation Limited, BitTorrent Foundation Ltd., and Rainberry Inc.. The legal case was filed by the U.S. Securities and Exchange Commission (SEC).

The defendants agreed to the court’s jurisdiction to resolve and settle the matter. According to the court documents, the settlement allowed the case to proceed without Rainberry admitting or denying the allegations.

The court ordered Rainberry not to violate U.S. securities laws in the future. The company was also permanently barred from practices that could mislead investors or create a false appearance of trading activity.

As part of the judgment, Rainberry must pay approximately $10 million to the SEC within 30 days after the judgment’s entry. The SEC will hold the funds pending the court’s decision on their distribution, potentially for user compensation.

Court documents state the SEC can use legal collection procedures if payment is not timely. Interest may be added if the deadline is missed.

Additionally, the judgment clarifies that the penalty is a payment to the U.S. government. It cannot be used to reduce damages in any future investor lawsuits related to the same allegations.

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