Musk Accused by SEC of Cheating Twitter Investors Out of Millions
Published On Jan 14, 2025, 8:16 PM
The SEC has filed a lawsuit against Elon Musk, claiming he deceived Twitter investors by delaying the disclosure of his increasing stake in the company. This delay reportedly cost Twitter investors over $150 million, as Musk bought shares at lower prices while failing to report that he owned over 5% of the stock. Musk's lawyer contends this case lacks foundation and is simply a continuation of the SEC's alleged harassment against him. The SEC is seeking monetary penalties and the return of profits Musk made from his stock purchases.
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Investors might react negatively to Musk's ongoing legal issues, as they often affect the stock price and market sentiment. The lawsuit could lead to uncertainty about Musk's future involvement with Twitter and potential financial repercussions for him personally.
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