SEC Investigating Elon Musk’s Twitter Takeover: Breaking News

In a recent court filing, it has been revealed that billionaire Elon Musk is currently under investigation by the U.S. Securities and Exchange Commission (SEC) regarding his $44 billion takeover of social media giant Twitter. The SEC is looking into whether Musk violated federal securities laws during the acquisition in 2022 and the subsequent statements and filings related to the deal.

According to the SEC, Musk was subpoenaed in May 2023 to provide testimony at their San Francisco office, and he had initially agreed to appear last month. However, just two days before the scheduled testimony, Musk raised objections and informed the SEC that he would not be attending. He also rejected the SEC’s proposals to conduct the deposition in Texas in October or November. Musk’s objections included claims of harassment and the need for his counsel to review material from a recently published biography.

In response to the SEC’s actions, Alex Spiro, an attorney for Musk, stated, “The SEC has already taken Mr. Musk’s testimony multiple times in this misguided investigation – enough is enough.” The SEC declined to comment further on the matter.

Musk’s acquisition of Twitter began with him building a significant minority stake in the platform, which he disclosed in April 2022. Initially, Musk indicated that he would be a passive stakeholder but later accepted and then declined a board seat at Twitter. In late April 2022, he announced his plans to purchase the company for $44 billion but later attempted to back out, alleging that Twitter was not fully disclosing bot activity on its platform. Eventually, facing a trial that sought to compel him to complete the deal, Musk finalized the acquisition in late October 2022.

The SEC stated that they are seeking Musk’s testimony to gather additional information relevant to their investigation. This development further escalates the ongoing feud between Musk and the SEC, which originated from Musk’s 2018 tweet about taking Tesla private.

As the investigation unfolds, it remains to be seen how this will impact Musk’s involvement in Twitter and his relationship with the SEC. The outcome of this case could have significant implications for both Musk and the future of social media platforms.