• 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

Bitcoin's Cryptography Faces Quantum Threat at ETH Denver

chest

Experts at ETH Denver discussed the vulnerabilities of Bitcoin's cryptography in a post-quantum world, highlighting risks from Shor's algorithm and potential consequences for Bitcoin ownership.

user avatarLi Weicheng

Options Market Shows Shift in Volatility Expectations

chest

Data from the Bitcoin options market indicates a notable change in volatility expectations, with traders beginning to expect less immediate volatility.

user avatarAisha Farooq

Metaplanets CEO Defends Bitcoin Purchases Amid Criticism

chest

Simon Gerovich, CEO of Metaplanets, defends the company's Bitcoin purchases and trading strategies, emphasizing transparency and countering misinformation.

user avatarMohamed Farouk

Metaplanets Reports Heavy Net Loss Despite Strong Revenue from Options

chest

Metaplanets reported a heavy net loss of approximately $680 million for fiscal 2025, despite strong revenue of $89 million from options trading.

user avatarBayarjavkhlan Ganbaatar

Bitcoin Faces Quantum Computing Discount Risk

chest

New research indicates that Bitcoin's fair value could be discounted by up to 60% by 2028 due to Quantum Computing threats.

user avatarTenzin Dorje

Retail Investors Face Billions in Losses from TRUMP and MELANIA Memecoins

chest

Retail investors have incurred over $4 billion in losses on the official TRUMP and MELANIA memecoins, which have plummeted significantly since their launch.

user avatarElias Mukuru

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.