A U.S. judge dismissed the appeal of the defendant in the $18 million cryptocurrency fraud case involving Green United

ChainCatcher news, according to Cointelegraph, U.S. District Judge Ann Marie McIff Allen in Utah has denied the appeal request from Kristoffer Krohn, a promoter of Green United, regarding the September 23 ruling that allowed the U.S. Securities and Exchange Commission (SEC) to sue Green United LLC. The judge stated that Krohn failed to provide grounds for the appeal.

In the arguments against the dismissal of the lawsuit, Krohn claimed that the SEC failed to prove that the Green Boxes offered by Green United were investment contracts, which the regulatory agency alleged in its complaint. He also argued that the SEC confused elements in the Howey test that defines securities. However, Judge Allen stated that Krohn's arguments were incorrect, accusing him of selectively quoting terms from two different definitions and "failing to provide any legal support to demonstrate that any court has adopted the definition he described."

In 2023, the SEC charged that executives of Green United operated a fraudulent cryptocurrency mining scheme that defrauded investors of $18 million through the sale of Green Boxes and Green Boxes investment products from April 2018 to December 2022.