The SEC says it wants the court to order Musk to pay “disgorgement of unjust enrichment as a result of his violation.” The SEC is also seeking civil penalties.Musk has tangled with the SEC before. The SEC in 2018 filed a complaint alleging that Musk had misled Tesla investors. In 2023, the SEC said it […]
The SEC says it wants the court to order Musk to pay “disgorgement of unjust enrichment as a result of his violation.” The SEC is also seeking civil penalties.Musk has tangled with the SEC before. The SEC in 2018 filed a complaint alleging that Musk had misled Tesla investors. In 2023, the SEC said it was seeking a court order to compel Musk to testify as part of its investigation into his purchase of X. He later testified for the investigation. “They spend their time on s— like this when there are so many actual crimes that go unpunished,” Musk wrote.
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Musk responded to news of the suit on X on Tuesday night, calling the SEC a “totally broken organization.”In July 2022, Musk tried to pull out of the deal to buy Twitter, but the company sued to hold him to their agreement, and he completed the takeover in October of that year.Musk waited until April 4, 2022, 11 days after the report was due, to publicly disclose his beneficial ownership in an SEC report, the commission says.In a statement late Tuesday night, Musk’s attorney, Alex Spiro, told CBS News that “today’s action is an admission by the SEC that…they cannot bring an actual case – because Mr musk has done nothing wrong and Everyone sees this sham for what it is.””Investors who sold Twitter common stock during this period did so at artificially low prices and thus suffered substantial economic harm,” the SEC alleges in its suit.
The Securities and Exchange Commission on Tuesday filed a lawsuit against Elon Musk, alleging the X owner misled shareholders about his Twitter stock purchases in 2022. The SEC lawsuit comes shortly before chairman Gary Gensler’s planned resignation from the commission. It’s not clear if the new administration will continue the suit. President-elect Donald Trump has selected Paul Atkins as the new SEC head. Musk is a prominent Trump backer and Republican donor, and has been selected by Trump to lead the Department of Government Efficiency, or DOGE.Aliza Chasan is a Digital Content Producer for “60 Minutes” and CBSNews.com. She has previously written for outlets including PIX11 News, The New York Daily News, Inside Edition and DNAinfo. Aliza covers trending news, often focusing on crime and politics.
