Telegram has reportedly refused to share bank records with the United States Securities and Exchange Commission (SEC) related to its $1.7 billion token sale. 

According to a court filing made on Jan. 2 and reported by Finance Magnates, the popular messaging app is refusing to disclose pertinent financial details with the SEC. 

The SEC said,

Plaintiff respectfully moves to compel Defendants to answer questions and provide documents regarding the amounts, sources, and use of funds raised from investors in connection with the unregistered sale of securities at issue in this case.

The filing continued,

Defendants are now refusing to disclose the bank records concerning how they have spent the $1.7 billion they raised from investors in the past two years and to answer questions about the disposition of investor funds.

The SEC had previously requested Telegram to provide documents related to “how much money” the company had spent in developing the TON Blockchain and integration with the Telegram Messenger application. According to the regulatory body, these documents are “highly relevant” to their suit against Telegram for conducting an “illegal” token sale.

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