I think yeah he can enter any information, unfortunately the problem arise in the future if the exchange/government find suspicious information.
I would never consider it that simple to deal with such a requirement even there is no asking for proof by uploading docs or similar. All inputs you provide will be recorded and if you continue using the same service you are at risk of them asking you at anytime to confirm thise inputs. It's not less important to provide the correct data if you want to continue using that same service. As for me, i would definitively avoid such a service who ask for private info ir even share it with authorities.