The post SEC Sues Musk for Delayed Disclosure of Twitter Stock Purchases appeared on BitcoinEthereumNews.com.

TLDR SEC filed a lawsuit against Elon Musk for allegedly failing to disclose his Twitter stock purchases in time, potentially saving him $150 million Musk’s legal team calls the SEC complaint a “sham” and claims it stems from bureaucratic matters The SEC is seeking financial penalties and wants Musk to forfeit profits, demanding a jury trial The acquisition timeline includes Musk buying over 5% of Twitter stock in March 2022, waiting 11 days to disclose, then revealing a 9% stake in April This adds to ongoing legal battles, including a separate lawsuit by Oklahoma Firefighters Pension System over the Twitter acquisition The U.S. Securities and Exchange Commission has filed a lawsuit against Elon Musk, claiming he broke securities laws during his acquisition of Twitter, now known as X. The case centers on Musk’s purchase of Twitter stock in March 2022 and his alleged delay in reporting these purchases to regulators. Federal regulations require investors to notify the SEC within ten days of acquiring more than 5% of a company’s shares. The SEC claims Musk missed this deadline, continuing to buy shares for 11 days without proper disclosure. According to the lawsuit filed in federal court in Washington, D.C., this delay allowed Musk to purchase additional shares at lower prices. The SEC estimates this timing saved him approximately $150 million, as the stock price would likely have increased with public knowledge of his growing stake in the company. The SEC sued Elon Musk in federal court over an alleged securities violation, according to a court docket https://t.co/5flQePAxcG — Bloomberg (@business) January 14, 2025 When Musk finally revealed his investment on April 4, 2022, he owned more than 9% of Twitter’s stock. The news caused Twitter’s share price to jump by 27% that week, highlighting the market impact of his disclosure. Alex…

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Filed under: News - @ January 15, 2025 1:25 pm