SEC sues Elon Musk after avoiding testifying about Twitter purchase

MADRID, 6 Oct.

SEC sues Elon Musk after avoiding testifying about Twitter purchase


The United States Securities and Exchange Commission (SEC) has filed a request with a California court to compel Elon Musk to testify in the investigation it is carrying out into the acquisition of Twitter after the businessman refused to appear in September after having been cited.

The SEC's lawsuit, filed in the San Francisco division of the Northern District Court of California, states that Musk did not appear to testify on September 15, as required by the subpoena sent by the SEC, despite having agreed in May 2023, appear to testify on a date almost four months away and have not raised any objection to the subpoena at the time it was served or during the following months.

"Instead, two days before his scheduled testimony, Musk abruptly notified the SEC that he would not appear," the Commission states, adding that the businessman attempted to justify his refusal to comply with the subpoena "by raising, for the first time, several spurious objections." , including an objection to San Francisco as an appropriate venue for testimonies."

The SEC is conducting an investigation into the purchase of social network Twitter, currently called X, to find out whether, among other things, Musk violated various provisions of the federal securities laws in connection with the acquisition of Twitter shares and regarding of its 2022 returns and SEC filings related to Twitter.

In this sense, the US CNMV defends the need to have Musk's testimony to obtain information that is not yet in the possession of the SEC and that is relevant to its investigation, concluding that "in the face of Musk's blatant refusal to comply with the SEC subpoena," is now asking the Court to intervene and force Musk to comply.