Elon Musk no longer wants to testify in the US Securities and Exchange Commission (SEC) investigation into his $44 billion acquisition of Twitter and has therefore filed his objections in federal court in San Francisco. As Musk’s lawyers said, the SEC’s subpoena exceeds the agency’s investigative powers. This is also excessively burdensome and requires “irrelevant evidence.”
Alex Spiro, Musk’s attorney, has called the investigation “misguided.” That’s why Musk’s lawyers wrote a letter to the relevant federal judge requesting that he not be forced to testify in the SEC investigation.
SEC opened an investigation
The SEC previously said it was investigating Musk’s purchases of Twitter stock in 2022, as well as his statements and SEC filings related to Twitter, which he later renamed X. However, Elon Musk declined to participate in an investigation as part of the survey in September. The SEC did not immediately respond to a request for comment on the response from the head of X, formerly Twitter. The authority had said it had the authority to obtain additional witness statements from the Tesla boss and had received new documents as part of the investigation since Musk was last questioned.
On April 4, 2022, Elon Musk announced that he had acquired a 9.2 percent stake in Twitter. That was eleven days after the SEC’s deadline for such disclosures. Musk initially stated that he wanted to be a passive shareholder. Later that month, he announced plans to buy Twitter for $44 billion. He then tried to leave the company. After being sued to complete the deal, Musk completed the acquisition of Twitter in late October 2022. The court case is the latest flare-up in the tense relationship between the US Securities and Exchange Commission and Musk, the world’s richest person.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
