The Securities and Exchange Commission (SEC) has filed a lawsuit against Elon Musk, in order to compel him to testify as a witness in the investigation of his Twitter stock purchase, which was later renamed X.
SEC stated that the investigation aims to find out if anyone involved has violated the law during the process of Musk’s $44 billion Twitter stock purchase.
SEC has sent a complaint stating that Musk’s previous refusal to comply with the SEC’s summons has caused delays in the agency’s investigation into whether securities laws were breached. Therefore, SEC has requested the court to force Musk to appear as a witness in the investigation.
Elon Musk’s attorney, Alex Spiro, has stated that the SEC has interrogated Musk multiple times, leading to misunderstandings.
SEC’s attorney has stated that Musk has refused to comply without reasonable cause and Musk believes that the SEC is using their summons as a threat to hinder his compliance. The SEC also stated that their investigation is ongoing, and no conclusions have been reached regarding any individuals or organizations that have violated federal securities laws. The case is scheduled for a hearing on November 9th, according to the legal complaint.
TLDR: The SEC has filed a lawsuit against Elon Musk, demanding his testimony regarding his stock purchase on Twitter. Musk’s attorney claims that the SEC has repeatedly questioned Musk, leading to misunderstandings. The SEC alleges that Musk’s refusal to comply with their summons has hindered their investigation. The case is set for a hearing on November 9th.