• 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

Charles Edwards of Capriole Investments Analyzes Bitcoin's Market Position

chest

Charles Edwards, founder of Capriole Investments, analyzes Bitcoin's market position, indicating it is closer to the bottom than the top, emphasizing the importance of institutional buying and cautioning about current market conditions.

user avatarTenzin Dorje

CLARITY Act Review Expected Amid TRUMP Memecoin Event

chest

The upcoming review of the CLARITY Act in Congress is expected to coincide with the TRUMP memecoin gala luncheon.

user avatarBayarjavkhlan Ganbaatar

Coinbase Denies Allegations of Opposing Bitcoin Tax Exemption

chest

Coinbase denied allegations of opposing the proposed Bitcoin de minimis tax exemption, asserting its commitment to Bitcoin advocacy.

user avatarMohamed Farouk

Bitcoin Policy Institute Highlights Legislative Efforts for Bitcoin Tax Exemption

chest

The Bitcoin Policy Institute published a report on the ongoing discussions in Congress regarding the Bitcoin de minimis tax exemption, emphasizing Senator Cynthia Lummis's efforts.

user avatarElias Mukuru

Blockchain.com Launches in Ghana, Ties Crypto to Mobile Money

chest

Blockchain.com has launched operations in Ghana, focusing on integrating crypto payments with the country's mobile money system.

user avatarDiego Alvarez

Shantanu Narayen to Step Down as CEO of Adobe

chest

Shantanu Narayen, the CEO of Adobe, announces his plan to step down after nearly two decades, while remaining as board chair.

user avatarKenji Takahashi

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.