A U.S. judge removed law firm Roche Freedman from its plaintiff representation in a lawsuit against crypto exchange Bitfinex and stablecoin issuer Tether after accusations of market manipulation, according to a report by Bloomberg Law.
The move follows a series of condemning videos published in August on Crypto Leaks, a whistleblower website, that accuse founding partner Kyle Roche of weaponizing litigation.
The hearing on Thursday confirmed that Roche Freedman would need to be removed or else it could derail the lawsuit’s litigation process, Bloomberg Law said. Kyle Roche had already withdrawn from the Tether class action in late August following the leaked videos.
Roche Freedman initiated the class action against Bitfinex and Tether in 2019, alleging over $1.4 trillion in damages suffered by plaintiffs. The suit claims a "sophisticated scheme" that defrauded investors, manipulated markets and concealed illicit proceeds.
Bitfinex and Tether took action to end Roche Freedman’s participation in the case due to concerns about the firm’s motivations, Bloomberg reported.
Roche Freedman didn't immediately respond to a request for comment from The Block.
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