SEC files lawsuit against Elon Musk for securities violations

Key Takeaways

The SEC sued Elon Musk for not disclosing his purchases of Twitter shares before acquiring the platform.
Musk's lawyer claims the SEC's lawsuit is baseless and suggests no wrongdoing.

The US SEC has launched a lawsuit against Elon Musk in federal court, alleging that he failed to timely purchase more than 5% of Twitter shares ( X now) before he got the social media platform, according to January 14. to file first shared by DB News.

The complaint, filed in federal court in Washington, DC, says Musk's delayed disclosure after accumulating more than 5% of ownership allowed him to “underpay.” at least $150 million for shares he bought after his financial beneficial ownership report.”

Musk later acquired Twitter for $44 billion and renamed it X.

Alex Spiro, Musk's lawyer, dismissed the lawsuit, calling it an “admission” that the SEC “can't bring a real case,” because Musk “has done nothing wrong and everyone sees this wonder for what it is. “

“As the SEC withdrew and resigned, the SEC's multi-year harassment campaign against Mr. Musk culminated in the filing of a single-count tiky tak complaint against Mr. . one form – a crime that, even if proven, carries a specified penalty,” Spiro said in a statement.

This is a developing story.