Judge: “No harassment”
Musk has to keep getting tweets approved
Elon Musk needs to have Tesla tweets checked by a lawyer. That’s what he wants in a deal with the US Securities and Exchange Commission, which the multibillionaire signed four years ago. The future owner of Twitter would like to overturn it. But the competent court thwarts his plans.
Elon Musk is taking control of Twitter, but in the future he will still have to get lawyers to approve the tweets related to his Tesla group. A judge rejected the world’s richest person’s request to overturn a previous deal with the US Securities and Exchange Commission.
Musk caused a stir in 2018 with a tweet in which he assured him that he had the necessary funds to take Tesla into private. This caused turmoil in the stock markets, and the SEC accused Musk of misleading shareholders. Under a deal with the Securities and Exchange Commission, Musk had to pay a $ 20 million fine, resign as chairman of Tesla’s board of directors and promise that he would have future tweets about the electric car maker approved by a lawyer before publication.
Last March, Musk petitioned the court for the revocation of that agreement. He accused the SEC of wanting to “molest and silence him”. Federal Judge Lewis Liman has now dismissed him. Musk’s argument that he only accepted the deal at the time because of financial difficulties is “absolutely unconvincing.” Musk can’t ask for the cancellation of a deal that he has “willingly and willingly” accepted only because, now that he believes his company is “almost invincible”, he wishes he hadn’t done so then.
suspected insider trading
The judge also denied Musk’s request to block a SEC request in an investigation into a November tweet. At the time, Musk asked his followers if he should sell 10 percent of his shares in his Tesla. This led to a decline in the value of the shares. The SEC wants to know if the tweet was reviewed by an attorney at that time, as requested, and requested relevant documents.
The stock exchange supervisor also investigates suspicions of insider trading. Musk’s brother had sold Tesla shares worth $ 108 million the day before the company founder tweeted.
Twitter will be owned by Musk in the future: on Monday the company announced a deal under which Musk would take over the online platform for about $ 44 billion. Soon after, the squabbling multi-billionaire publicly attacked a Twitter top manager. On the platform, Musk criticized chief attorney Vijaya Gadde for his decision to temporarily limit the New York Post tabloid’s Twitter account, which published a controversial article about the son of then-presidential candidate Joe Biden, during the campaign. 2020 US presidential election. “Obviously, suspending a major news outlet’s Twitter account for posting a true story was incredibly inappropriate,” Musk wrote of Gadde. Observers, but also Twitter employees, are wondering what changes Musk will bring to the platform. In the past, he had repeatedly accused Twitter of restricting freedom of expression.