The United States Securities and Exchange Commission (SEC) is seeking “alternative service” from the United States District Court in Washington, DC to issue a subpoena to Changpeng Zhao, CEO of cryptocurrency exchange Binance.

Zhao and Binance were recently sued by the SEC for alleged transactions with unregistered securities.

In a case document introduced in district court on June 7, the SEC requested further service. He explained his clear position that the typical service (which requires the presence and signature of the customer) can be difficult in this case:

“Binance and Zhao are not typical foreign entities and individuals, as they are widely known to disagree with the premise of a registered office or domicile, let alone identify one, and Zhao is famous for avoid revealing his whereabouts.

Despite the alleged difficulty in serving Zhao, the CEO would probably not be legally obligated to attend in court solely to respond to the subpoena; however, courts generally require some form of subpoena to take place, even if the defendant is not required to appear.

The SEC also asked the court to order Zhao and Binance to promptly provide “sworn accounting” – essentially a legal disclosure of financial information.

According to the complaint, the SEC was unable to discern the full extent of the defendants’ assets, the exact whereabouts of the investor’s money, or the status or location of other assets that might be used to enforce a money judgment against the defendants.

Again, the SEC cited logistical issues as mitigating factors. The lawsuit says the sworn liability claim stems from BAM Trading’s “failure to provide accurate information” about Zhao’s whereabouts or the company’s “overseas location.”

BAM Trading is the organization overseeing Binance.US in partnership with Binance, a setup intended to allow the company to separate its US operations from its other entities.

Zhao’s location remains unknown at the time of publication. He is a Canadian citizen of Chinese descent who reportedly bought a house in Dubai in 2021. However, as a result with Binance spokesperson Dewi Mustajab on March 28, 2023, the CEO splits his time between Dubai and France.