A United States District Court has issued a summons to crypto entrepreneur Justin Sun concerning the crypto fraud case recently filed against him by the U.S. Securities and Exchange Commission (SEC).
Summons is a written order issued by the court after a criminal lawsuit has been filed that requires the defendant named in the suit to appear in court on a specific date and time to answer the alleged claims.
Justin Sun Gets 21 Days Ultimatum
According to a report by the Straits Times, the defendant has been given 21 days to respond to the summons, and failure to do so in time would result in the court ruling in favor of the plaintiff.
The summons was addressed to two locations; 8 Lady Hill Road, a Good Class Bungalow in the Tanglin area, and office space at 9 Temasek Boulevard, Suntec Tower Two, according to the report.
SEC Vs. Sun
On March 22, the SEC sued Sun for selling unregistered securities related to the sale and shilling of Tronix (TRX) and BitTorrent (BBT) tokens to investors, including in the United States. According to the SEC, each of these unregistered offers and sales violated Section 5 of the Securities Act.
The agency further alleged that the entrepreneur engaged in wash trading in the secondary market for TRX to buoy its price. Three of Sun’s wholly-owned companies, including Tron Foundation Limited, BitTorrent Foundation Ltd., and Rainberry Inc. (formerly BitTorrent), were also named as defendants in the case.
The regulator also charged eight celebrities, including Lindsay Lohan, Soulja Boy, Lil Yachty, Jake Paul, Michele Mason, Akon, Austin Mahone, and Ne-Yo, for touting illegally touting TRX and/or BTT without disclosing that they were compensated for doing so and amount of their compensation. However, aside from Soulja Boy and Mahone, other celebrities agreed to a $400,000 settlement with the SEC without admitting or denying the allegations.
