• 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

a year 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

Figure Technology Confirms Data Breach Due to Social Engineering Attack

chest

Figure Technology has confirmed a data breach caused by social engineering, resulting in the theft of customer files and exposure of sensitive personal information.

user avatarZainab Kamara

Shiba Inu SHIB Creates Millionaires in 2021 Bull Run

chest

Shiba Inu SHIB generated several millionaires during the 2021 bull run, but its price has significantly decreased since then.

user avatarAyman Ben Youssef

Investing in Shiba Inu SHIB Today: Can It Still Create Millionaires?

chest

Investing in Shiba Inu SHIB today may still lead to millionaire status, but requires significantly larger investments than in the past.

user avatarSon Min-ho

Cumulative Value Days Destroyed Indicates Bitcoin's Market Bottom

chest

Market analyst Ali Martinez highlights that the Cumulative Value Days Destroyed (CVDD) metric suggests Bitcoin's price bottom is at 45,225.

user avatarTando Nkube

Russia Advances Digital Ruble Initiative to Boost BRICS Trade

chest

Russia is advancing the digital ruble initiative to enhance trade among BRICS nations and reduce reliance on the US dollar.

user avatarKofi Adjeman

X Takes Action Against Spam and Automation

chest

X's leadership is taking steps to combat spam and automation on the platform.

user avatarNguyen Van Long

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.