SEC Sues Elon Musk for Delay in Twitter Stock Disclosure

user avatar

by Giorgi Kostiuk

2 years ago

The Securities and Exchange Commission (SEC) has filed a lawsuit against Elon Musk, alleging that the billionaire delayed disclosing his acquisition of Twitter Inc. shares.

SEC Lawsuit Against Musk

The case, titled *Securities and Exchange Commission v. Musk*, is docketed in the U.S. District Court for the District of Columbia. The complaint alleges that Musk intentionally missed the deadline to disclose his acquisition of more than a 5% stake in Twitter early in 2022.

Allegations of Twitter Stock Manipulation

The SEC claims Musk delayed disclosure to buy Twitter shares at artificially low prices, resulting in an underpayment of at least $150 million. By March 2022, Musk held more than 9% of Twitter's stock. Federal securities law required him to disclose this within 10 days, but his filing was delayed by 11 days.

The SEC’s multi-year campaign of harassment against Mr. Musk culminates in this filing of a single-count, administrative complaint under Section 13(d) for allegedly failing to submit one form—a procedural issue that, even if substantiated, would result in a nominal penalty.Alex Spiro

Penalties and Musk's Political Ties

The SEC seeks court-ordered penalties against Musk, including the repayment of profits deemed to be unjustly acquired. Musk is also facing investor lawsuits accusing him of concealing his Twitter stock acquisition. Additionally, Musk has gained political prominence as a supporter and advisor to Donald Trump.

The SEC's legal actions against Elon Musk add another chapter to his complex relationship with regulatory entities and political figures, raising questions about his business practices and political ties.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Bitcoin Core Updates Security Disclosure Policy Amid AI Vulnerability Discoveries

Bitcoin Core has updated its security disclosure policy to accelerate the reporting of vulnerabilities discovered through AI tools.

user avatarRajesh Kumar

Bitcoin Core Developers Release Security Updates Following AI Discovery

Bitcoin Core developers have released security updates after an AI-powered code scan revealed three vulnerabilities, including a critical one that could crash nodes on Windows and macOS.

user avatarMiguel Rodriguez

CF Benchmarks Introduces CFB Oracle to Enhance On-Chain Price Integrity

CF Benchmarks has launched CFB Oracle, a service providing cryptographically signed index information for applications on Ethereum mainnet, HyperEVM, and Robinhood Chain.

user avatarLuis Flores

SEC Proposes New Custody Framework for Crypto Assets

The SEC has proposed a new custody framework for investment advisers and registered funds dealing with crypto assets, allowing for potential self-custody and the use of state trust companies as custodians.

user avatarArif Mukhtar

FINMA Approves First Swiss Retail Bitcoin ETF

Switzerland's financial regulator, FINMA, has approved its first retail ETF that invests directly in Bitcoin, allowing retail investors to gain regulated exposure to Bitcoin.

user avatarMaria Gutierrez

EIP7906 Proposal Considered for Enhancing Ethereum Transaction Safety

The Ethereum Foundation is considering EIP7906, which proposes a readonly post-transaction frame to evaluate changes and events before accepting transaction outcomes.

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.