The United States Securities and Exchange Commission stated that it served HEX founder Richard Schueler, also known as Richard Heart, at his residence in Helsinki via an alternate method, the capital of Finland, on behalf of the commission.
The SEC stated in a filing with the New York District Court on December 11 that Heart was served via substitute service on October 31. Substitute service is obtained when it is typically impossible to personally deliver a lawsuit to the defendant due to challenges in locating them.
The process server stated that they attempted to personally serve Heart at his Helsinki residence via calls, texts, letters, and personal visits for nearly seven weeks, beginning September 13, but were unsuccessful.
In July, the SEC initiated legal proceedings against Heart, charging that he failed to register Hex, PulseChain (PLS), and PulseX (PSLX), asserting that the transactions generated more than $1 billion.
Additionally, the lawsuit detailed how Heart allegedly defrauded American and international investors of a minimum of $12 million by purchasing a “555-carat diamond, expensive watches, and high-end automobiles.”
In a status report to the court in early November, the SEC stated that it had been unable to locate Heart since August 22 to serve its lawsuit despite knowing he was in Helsinki.
Although Heart has maintained a low online profile, his whereabouts have not prevented him from remaining active.
Heart has published over forty X (Twitter) updates since the SEC’s status report on November 21. These updates have focused on crypto-related events, including Binance’s settlement with the Department of Justice in November, Sam Bankman-Fried’s trial, and Do Kwon-related developments.
According to CoinGecko data, HEX has declined 81.5% over the past year and 99% since its all-time high of $0.5 on September 19, 2021.
