The US District Court for the Southern District of New York sent a subpoena to Justin Sun's address in Singapore, requesting that the response be served to the plaintiff (SEC) or plaintiff's representative within 21 days.
If Justin Sun Doesn't Respond Within 21 Days, Court May Rule In Favor of Plaintiff
Failure to respond within 21 days may result in the court ruling in favor of the plaintiff.
The lawsuit involved Sun's three wholly-owned companies, the Tron Foundation, BitTorrent Foundation and Rainberry Incorporated, and two musicians, Austin Mahone, better known as Soulja Boy, and DeAndre Cortez Way.
The criminal complaint alleges that Sun "designed the supply and sale of two crypto assets, TRX and BTT," through the companies. These assets were labeled as securities and needed to be registered with the SEC, but this is allegedly not done.
As a result, Sun was subpoenaed by the United States District Court on Thursday and was given 21 days to respond to the case. According to The Straits Times, if there is no timely response, the court may rule in favor of the plaintiff.
Sun faces allegations of unregistered securities selling and airdropping, fraud and market manipulation. The case has received a lot of attention in the cryptocurrency community, and many individuals and organizations are following the developments closely.
Sun, which also owns the BitTorrent Foundation, which the SEC says is a for-profit organization despite its non-profit title, allegedly earned $31 million from illegal token sales on the secondary market.
*Not investment advice.
