Elon Musk is as soon as once more within the crosshairs of the Securities and Alternate Commision (SEC). The regulator, which has been investigating Musk’s Twitter takeover, is now suing the proprietor of X after he failed to seem for previously-scheduled testimony, The Wall Avenue Journal reports.
The SEC’s investigation dates again to 2022, when it opened a probe into Musk’s delayed disclosure of his stake in Twitter, which was on the time a publicly-traded firm. Musk was 10 days late in submitting paperwork, required below US securities legislation, disclosing his funding in Twitter. The delay could have earned him as a lot as $156 million, and likewise made him the goal of a class-action lawsuit from former Twitter shareholders.
Musk had been scheduled to testify within the SEC investigation into the matter final month, The Wall Avenue Journal reviews. However Musk failed to seem at a scheduled assembly in San Francisco, and later gave a “blanket refusal to seem for testimony” when the SEC tried to reschedule. The regulator is now asking a San Francisco federal court docket to drive Musk to adjust to its subpoena.
It’s hardly the primary time Musk has discovered himself on the unsuitable facet of the SEC, which he has repeatedly ridiculed over time. The Tesla CEO was charged with securities fraud over a now-infamous 2018 tweet claiming he had “funding secured” to take the electrical automotive maker non-public. Musk ultimately settled with the SEC, paying a $20 million positive and giving up his place as chairman of Tesla’s board. Musk is, nonetheless, still fighting a provision of that SEC settlement requiring a so-called “Twitter-sitter” to sign-off on a few of Musk’s Tesla-related tweets.
X didn’t reply to a request for remark.
This text initially appeared on Engadget at https://www.engadget.com/the-sec-is-suing-elon-musk-for-refusing-to-testify-in-twitter-investigation-212347834.html?src=rss
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