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The New York Attorney General’s office is seeking to compel Bitfinex to share documents on the purported $850 million loan it received from its sister company Tether. In its latest filing, the NYAG’s office claimed that it had failed to resolve the matter with the digital currency exchange, necessitating the latest legal action.

The filing by AG Letitia James states that since the court denied a motion to dismiss brought by Bitfinex, it had attempted to resolve the matter with the digital currency exchange unsuccessfully. Filed on September 8, some 61 days since the court issued a stay of enforcement, the AG’s motion points out that the stay has now ended. Bitfinex must now produce the documents and information requested by the AG’s office, it stated.

“At the conference we seek, the OAG will request that the Court order the immediate production of documents and information by Respondents as required under the April 24, 2019 Order … to be completed no later than sixty (60) days from the date of the requested order,” according to the filing.

The AG is also requesting the court to extend the injunction entered previously in the case for an additional 90 days. This injunction was entered in May last year and prohibits Tether from loaning any assets to Bitfinex or any other parties. It also bars Tether from distributing funds to its executives and prohibits the two companies from making any modifications to documents that the AG had asked for in her original subpoena.

The New York AG’s inquest into iFinex, the company that operates Tether and Bitfinex, started in April last year. James accused the two companies of engaging in a conspiracy to cover up an $850 million loss at the exchange, which Tether secretively covered. She also exposed the involvement of Crypto Capital, a shadow banking institution that processed payments for other digital currency service providers, including the controversial QuadrigaCX.

The AG’s investigation hasn’t been the only legal trouble for the two controversial companies. They have been accused of having manipulated the BTC price in 2017. A week ago, the two filed a joint motion asking the court to dismiss the lawsuit, claiming it relied on unfounded allegations.

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