Aug 29, 04:37 AM

Musk Moves to Dismiss SEC Suit Over Twitter Stake Disclosure

Elon Musk asked a Washington, D.C. federal judge to throw out a Securities and Exchange Commission lawsuit accusing him of violating disclosure rules when he accumulated a large stake in Twitter Inc. in 2022, according to a motion filed late Thursday. The SEC contends Musk waited 11 days beyond the 10-day deadline to reveal that he had crossed the 5% ownership threshold, allowing him to buy more than $500 million of stock at what it calls artificially low prices. By the time he disclosed a 9.2% holding on 4 April 2022, Twitter’s share price jumped 27%, and the agency says investors who sold earlier missed out on gains worth more than $150 million. It is seeking a civil penalty and the return of profits linked to the delay. Musk’s lawyers argue the billionaire halted additional purchases once he became aware of filing requirements and submitted the disclosure the next business day, insisting there was no intent to mislead and describing the case as an example of government overreach. In a parallel filing, they asked that any further proceedings be transferred to the Western District of Texas, where X Corp. is now headquartered. The action extends a years-long clash between Musk and the SEC that began with the regulator’s 2018 lawsuit over his tweets about taking Tesla private. The SEC has not commented on the latest motion, which comes ahead of a court-imposed deadline for Musk to formally respond to the complaint.

#Elon Musk #Securities and Exchange Commission #SEC #Musk #Twitter #Western District of Texas #Tesla

Written with ChatGPT .

Musk Moves to Dismiss SEC Suit Over Twitter Stake Disclosure

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