According to The Block, the U.S. Securities and Exchange Commission said that the court should oppose a motion to dismiss an investigative subpoena investigating whether the meme coin Let's Go Brandon Coin (LGBcoin) is a security.
In January, the agency subpoenaed Miami hedge fund manager James Koutoulas, who is also a trustee of the LGBcoin Foundation. After the SEC issued a subpoena earlier this year, Koutoulas sued the SEC, saying that LGBcoin is not a security and therefore does not violate securities laws. But the SEC argued that Koutoulas's questions about its investigation lacked sufficient grounds to quash the subpoena.
The SEC said if the investigation leads to charges against Koutoulas or LGBcoin, then he can make his case.
“But he does not have the authority to ignore the SEC’s subpoena simply because he believes LGBCoin does not qualify as a security, nor does he have the authority to conduct a mini-trial at this preliminary juncture and waste time and resources litigating a decision that the SEC has not yet made,” the agency said.
Koutoulas said in a statement that he would fight the subpoena "all the way to the Supreme Court if necessary."