SEC Objects to Terraform Labs Special Counsel, Claiming Suspicious Payments Were Made

The SEC has asked the Delaware bankruptcy court to deny Terraform Labs' retention of Dentons U.S. LLC as its special counsel, claiming that a suspicious amount of money has been paid to Dentons. The SEC argues that Terraform Labs transferred $166 million into the Dentons Advance Payment Retainer, with $122 million of that transferred within 90 days before the bankruptcy filing. The SEC believes this move was aimed at removing assets that could be used to pay any judgments resulting from the agency's enforcement action