• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Elon Musk in Court: Delay in Disclosing Twitter Stake Leads to SEC Lawsuit

user avatar

by Giorgi Kostiuk

10 months ago

The SEC has filed a lawsuit against Elon Musk for allegedly violating federal securities laws by delaying the disclosure of his stake in Twitter.

Allegations of Delayed Disclosure

Filed in a Washington D.C. federal court, the lawsuit accuses Musk of failing to disclose his purchase of over 5% of Twitter shares within the required 10-day period. Musk disclosed his 9.2% stake only on April 4, 2022, which the SEC claims enabled him to acquire over $500 million worth of Twitter shares at discounted prices.

Investors must report stakes within 10 calendar days of surpassing the 5% threshold.

Financial Impact and Investor Consequences

The SEC contends that Musk's delay harmed other investors by preventing them from making informed decisions about Twitter's stock. The SEC claims that Musk underpaid by at least $150 million for shares purchased after the filing deadline.

Musk's Response and Criticism of the SEC

Elon Musk called the SEC a "totally broken" organization. His legal team, led by Alex Spiro, argues that the lawsuit represents a "multi-year campaign of harassment" and if proven carries a nominal penalty.

"It is merely an administrative failure to file a single form," said Alex Spiro, Musk's attorney.

Musk's ongoing feud with the SEC continues. If the SEC wins, Musk may face civil penalties, including fines and possible disgorgement of profits.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Strategy MSTR Maintains Strong Bitcoin Financial Health Amid Market Volatility

chest

Strategy MSTR asserts its Bitcoin financial health remains robust even if BTC drops to 25,000, showcasing a strong risk management approach.

user avatarRajesh Kumar

Ho Chi Minh City Partners with Binance to Develop International Financial Center

chest

Ho Chi Minh City Department of Finance has signed a memorandum of understanding with Binance to develop Vietnam's International Financial Center.

user avatarMiguel Rodriguez

UNBLOCK 2026: Elevating Europe's Crypto Conversation

chest

UNBLOCK 2026 is set to return to Riga on April 12, 2026, ready to elevate Europe's crypto conversation.

user avatarLuis Flores

Coinbase Ventures Focuses on Privacy and Compliance in DeFi

chest

Coinbase Ventures is focusing on privacy-preserving infrastructure and compliance tools for DeFi in 2026 to help protocols operate within regulatory frameworks.

user avatarArif Mukhtar

Arthur Hayes Makes Strategic Move by Acquiring 105,000 PENDLE Tokens

chest

Arthur Hayes, cofounder of BitMEX, purchases 105,000 PENDLE tokens from Flowdesk, valued at approximately $260,500, signaling his investment strategy in the crypto market.

user avatarMaria Gutierrez

Mutuum Finance Undergoes Independent Audit for Security Assurance

chest

Mutuum Finance's lending and borrowing smart contracts are being audited to ensure security and functionality.

user avatarDavid Robinson

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.