diff --git a/pkg/dms/client.go b/pkg/dms/client.go
index d3ebd7d16e..4fbf79a81b 100644
--- a/pkg/dms/client.go
+++ b/pkg/dms/client.go
@@ -96,7 +96,7 @@ func (c *ClientConn) getTp(id uint16) (*Transport, bool) {
 	return tp, ok
 }
 
-func (c *ClientConn) handleRequestFrame(ctx context.Context, id uint16, p []byte) (*Transport, error) {
+func (c *ClientConn) handleRequestFrame(ctx context.Context, accept chan<- *Transport, id uint16, p []byte) (cipher.PubKey, error) {
 	// remote-initiated tps should:
 	// - have a payload structured as 'init_pk:resp_pk'.
 	// - resp_pk should be of local client.
@@ -104,28 +104,37 @@ func (c *ClientConn) handleRequestFrame(ctx context.Context, id uint16, p []byte
 	initPK, respPK, ok := splitPKs(p)
 	if !ok || respPK != c.local || isInitiatorID(id) {
 		if err := writeCloseFrame(c.Conn, id, 0); err != nil {
-			return nil, err
+			c.Close()
+			return initPK, err
 		}
-		return nil, ErrRequestCheckFailed
+		return initPK, ErrRequestCheckFailed
 	}
 
 	tp := NewTransport(c.Conn, c.local, initPK, id)
 	if err := tp.Handshake(ctx); err != nil {
 		// return err here as response handshake is send via ClientConn and that shouldn't fail.
-		return nil, err
+		c.Close()
+		return initPK, err
 	}
 	c.setTp(tp)
 
-	return tp, nil
+	select {
+	case accept <- tp:
+	case <-ctx.Done():
+		return initPK, ctx.Err()
+	}
+	return initPK, nil
 }
 
 // Serve handles incoming frames.
 // Remote-initiated tps that are successfully created are pushing into 'accept' and exposed via 'Client.Accept()'.
 func (c *ClientConn) Serve(ctx context.Context, accept chan<- *Transport) error {
+
 	c.wg.Add(1)
 	defer c.wg.Done()
 
-	log := c.log.WithField("remoteSrv", c.remoteSrv)
+	log := c.log.WithField("srv", c.remoteSrv)
+	defer log.Warnf("serveLoopClosed")
 
 	for {
 		f, err := readFrame(c.Conn)
@@ -136,45 +145,41 @@ func (c *ClientConn) Serve(ctx context.Context, accept chan<- *Transport) error
 		tp, ok := c.getTp(id)
 		log.Infof("readFrame: frameType(%v) channelID(%v) payloadLen(%v)", ft, id, f.PayLen())
 
-		// if tp does not exist, frame should be 'REQUEST'.
-		// otherwise, handle any unexpected frames accordingly.
-		if !ok {
-			c.delTp(id) // rm tp in case closed tp is not fully removed.
-			switch ft {
-			case RequestType:
-				tp, err := c.handleRequestFrame(ctx, id, p)
-				if err != nil {
-					log.WithError(err).Infof("transportRejected: remoteClient(%v) channelID(%v)", tp.remoteClient, tp.id)
-					if err == ErrRequestCheckFailed {
-						continue
-					}
-					return err
-				}
-				log.Infof("transportAccepted: remoteClient(%v) channelID(%v)", tp.remoteClient, tp.id)
-				select {
-				case accept <- tp:
-				case <-ctx.Done():
-					return ctx.Err()
-				}
-			case CloseType:
-				log.Infof("closeFrameIgnored: transport untracked locally.")
-			default:
-				log.Infof("unexpectedFrameReceived: transport untracked locally.")
-				if err := writeCloseFrame(c.Conn, id, 0); err != nil {
-					return err
-				}
+		if ok {
+			// If tp of tp_id exists, attempt to forward frame to tp.
+			// delete tp on any failure.
+			if !tp.AwaitRead(f) {
+				log.Infof("failed to injest to local_tp: id(%d) dstClient(%s)", id, tp.remoteClient)
+				c.delTp(id)
 			}
+			log.Infof("successfully injested to local_tp: id(%d) dstClient(%s)", id, tp.remoteClient)
 			continue
 		}
 
-		// If tp of tp_id exists, attempt to forward frame to tp.
-		// delete tp on any failure.
-
-		if !tp.AwaitRead(f) {
-			log.Infof("failed to injest to local_tp: id(%d) dstClient(%s)", id, tp.remoteClient)
-			c.delTp(id)
+		// if tp does not exist, frame should be 'REQUEST'.
+		// otherwise, handle any unexpected frames accordingly.
+		c.delTp(id) // rm tp in case closed tp is not fully removed.
+		switch ft {
+		case RequestType:
+			// TODO(evanlinjin): Allow for REQUEST frame handling to be done in goroutine.
+			// Currently this causes issues (probably because we need ACK frames).
+			initPK, err := c.handleRequestFrame(ctx, accept, id, p)
+			if err != nil {
+				log.WithError(err).Infof("transportRejected: channelID(%v) client(%s)", id, initPK)
+				if err == ErrRequestCheckFailed {
+					continue
+				}
+				return err
+			}
+			log.Infof("transportAccepted: channelID(%v) client(%s)", id, initPK)
+		case CloseType:
+			log.Infof("closeFrameIgnored: transport untracked locally.")
+		default:
+			log.Infof("unexpectedFrameReceived: transport untracked locally.")
+			if err := writeCloseFrame(c.Conn, id, 0); err != nil {
+				return err
+			}
 		}
-		log.Infof("successfully injested to local_tp: id(%d) dstClient(%s)", id, tp.remoteClient)
 	}
 }
 
diff --git a/pkg/dms/transport.go b/pkg/dms/transport.go
index e36e7fcf84..b8cb514313 100644
--- a/pkg/dms/transport.go
+++ b/pkg/dms/transport.go
@@ -75,7 +75,7 @@ func (c *Transport) close() (closed bool) {
 // Handshake performs a tp handshake (before tp is considered valid).
 func (c *Transport) Handshake(ctx context.Context) error {
 	// if channel ID is even, client is initiator.
-	if init := isInitiatorID(c.id); init {
+	if isInitiatorID(c.id) {
 
 		pks := combinePKs(c.local, c.remoteClient)
 		f := MakeFrame(RequestType, c.id, pks)