Elon Musk Faces SEC Investigation , and Lawsuit by Twitter Investors , for Delayed Disclosure.
On May 25, Twitter investors filed a lawsuit against Elon Musk for delaying the disclosure of his stake in the company.
On May 25, Twitter investors filed a lawsuit against Elon Musk for delaying the disclosure of his stake in the company.
'The Guardian' reports that investors claim Musk saved himself $156 million by not disclosing that he had already purchased over 5% of Twitter by March 14.
'The Guardian' reports that investors claim Musk saved himself $156 million by not disclosing that he had already purchased over 5% of Twitter by March 14.
By delaying his disclosure of his stake in Twitter, Musk engaged in market manipulation and bought Twitter stock at an artificially low price, William Heresniak, Twitter investor, via 'The Guardian'.
According to investors, the recent drop in Tesla stock puts Musk's bid to purchase Twitter in "major peril.".
According to investors, the recent drop in Tesla stock puts Musk's bid to purchase Twitter in "major peril.".
On May 26, Tesla shares were trading at around $700.
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In April, those stocks were above $1,000.
Earlier this month, the U.S. Securities and Exchange Commission (SEC) opened an investigation into the timing of Musk's disclosure of his stake.
Earlier this month, the U.S. Securities and Exchange Commission (SEC) opened an investigation into the timing of Musk's disclosure of his stake.
Investors are reportedly seeking to be awarded an unspecified amount of punitive and compensatory damages.
Investors are reportedly seeking to be awarded an unspecified amount of punitive and compensatory damages.
On May 25, Musk pledged an additional $6.25 billion to finance his bid to purchase Twitter.
On May 25, Musk pledged an additional $6.25 billion to finance his bid to purchase Twitter.
'The Guardian' reports that the additional financing signals that the deal may be progressing.
Musk had already offered $44 billion for his takeover of the social media platform.
Musk had already offered $44 billion for his takeover of the social media platform
