NYAG asks Bitfinex to be forced to publish documents relating to the Tether agreement

The Attorney General of New York State (NYAG), Letitia James, has requested disclosure of documents regarding an alleged agreement between the Bitfinex cryptocurrency trading system and the operator Stablecoin, Tether . The NYAG memorandum of law was tabled on May 3rd.

The memorandum calls for more transparency and says "Bitfinex and Tether misled their customers and investors." The statement also explains why the state attorney general considers it necessary to request the documents in question:

"Although this and other differences do not change the fundamental issues in this case […] they only increase the OAG's performance. [Office of the Attorney General’s] It is necessary to obtain documents and information quickly and in an organized manner so that the OAG can understand what has happened and what continues to happen in these businesses. "

The document also notes that the authorities[ed] a narrow injunction aimed at preserving the status quo and preventing the respondents from further dissipating the cash reserves expected to support the virtual currency, pending the completion of the OAG investigation. "

NYAG also said that the current case did not prevent Bitfinex and Tether from continuing to "run their business normally," as they have done since the injunction.

As Cointelegraph had previously reported, at the end of April, the NYAG claimed that Bitfinex had lost $ 850 million and then used the funds from the Tether affiliate to cover the shortfall .

Shortly thereafter, Tether and Bitfinex responded to the charges with a statement that court records by the New York Attorney General's office were "full of false claims".

Yesterday, Cointelegraph reported documents published by a Bitfinex shareholder that confirm that the stock market is considering an initial exchange offer of nearly $ 1 billion of its new token, LEO.

Earlier this week, a charge of two people for several counts revealed an apparent connection to the parallel banking services used by Bitfinex and QuadrigaCX cryptographic exchanges.