CoinVoice has learned that, according to Cointelegraph, U.S. Federal Judge Ann Marie McIff Allen rejected the appeal request from Green United promoter Kristoffer Krohn regarding his September 23 ruling, which allowed the U.S. Securities and Exchange Commission (SEC) to sue Green United LLC. The judge stated that Krohn did not provide grounds for the appeal.
During the arguments to dismiss the lawsuit, Krohn stated that the SEC failed to prove that the Green Boxes offered by Green United were investment contracts, which the regulator claimed in its complaint. He also argued that the SEC confused the elements of the Howey test that defines securities. However, Judge Allen stated that Krohn's argument was incorrect, accusing him of selectively citing terms from two different definitions and that he 'failed to provide any legal support to prove that any court adopted the definition he described.'
In 2023, the SEC charged executives of Green United with operating a fraudulent cryptocurrency mining scheme that defrauded investors of $18 million between April 2018 and December 2022 through the sale of Green Boxes and Green Boxes investment products. [Original link]