- The U.S. Securities and Exchange Commission (SEC) is suing Elon Musk for allegedly failing to disclose his ownership of over 5%.
- The SEC claims Musk crossed the 5% mark on March 14, 2022.
- Musk’s lawyer, Alex Spiro, countered that the tech billionaire had “done nothing wrong”
The U.S. Securities and Exchange Commission (SEC) has filed a lawsuit against tech billionaire Elon Musk, alleging that he failed to disclose his ownership of more than 5% of Twitter stakes in a timely manner before taking over the company in 2022.
According to the SEC, Musk began buying up Twitter shares in early 2022 and crossed the 5% mark on March 14, 2022. However, he didn’t disclose this fact publicly until April 4, 2022, 11 days after the required deadline.
The SEC claims that this late disclosure allowed Musk to “underpay by at least $150 million for his purchases of Twitter common stock” during that period.
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Musk’s lawyer, Alex Spiro, countered that the tech billionaire had “done nothing wrong.”
In a statement to Bloomberg, Spiro also accused the SEC of a “multi-year campaign of harassment” against Musk.
The outcome of the lawsuit is uncertain, given Musk’s close relationship with incoming U.S. President Donald Trump, who will be sworn in on January 20.
Musk to Charge All Twitter Users Monthly Fee
Elon Musk, the billionaire owner of X (formerly known as Twitter), has announced that the platform will soon charge all users a small monthly payment.
The move was aimed at curbing the presence of bots(accounts run by computer programs rather than humans) on the platform.
