The U.S. District Court for the Southern District of New York has subpoenaed Justin Sun. Specifically, Sun’s Singapore address has been summoned in association with a Securities and Exchange Commission civil case. Specifically, the court filing addressed to Tron founder Justin Sun read,
“A lawsuit has been filed against you.”
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According to the official filing, the court has ordered Sun to revert back to the summon within 21 days by getting in touch with the attorney for SEC, Adam Gottlieb. Chalking out the same, the filing noted,
“Within 21 days after service of this summons on you (not counting the day you received it), you must serve on the plaintiff an answer to the attached complaint or a motion under Rule 12 of the Federal Rules of Civil Procedure. The answer or motion must be served on the plaintiff or plaintiff’s attorney.“
What if Sun doesn’t respond?
Notably, “judgment by default will be entered” if Sun fails to respond. The same pointed toward likely penalties pertaining to alleged securities law violations. The official document highlights,
“If you fail to respond, judgment by default will be entered against you for the relief demanded in the complaint. You also must file your answer or motion with the court.”
Earlier this week, the Tron founder took to Twitter to announce that he had just arrived in Hong Kong. In fact, on April 12, he also went on to discuss Hong Kong’s “thriving” crypto ecosystem and the future of decentralized finance at the ‘Binance Night.’
Last month, the SEC filed a civil lawsuit against Sun, the Tron Foundation, the BitTorrent Foundation, and Rainberry for fostering the “orchestration of the unregistered offer and sale, manipulative trading, and unlawful touting” of Tron as a crypto asset security. The regulatory agency contended that Sun engaged in “manipulative wash trading” by helping drive public interest in TRX and BitTorrent [BTT] with the assistance of celebrities. In fact, a couple of days back, even Binance.US went on to announce the de-listing of TRX, stirring pessimism among community members. A few hours back, Sun tweeted “4,” asking people to ignore FUD, fake news, and attacks.
Also Read: SEC Sues Tron’s Justin Sun for Fraud, Market Manipulation