Tips: To find exactly articles with useful content for readers, search on Google with the syntax: "Keyword" + "khoafastnews". (Example: new card for new priest Khoafastnews).Search now
87 lượt xem

The S.E.C. Sent a Letter to Musk About His Twitter Shares in April-KHOAFAST

The S.E.C. Sent a Letter to Musk About His Twitter Shares in April

The Securities and Exchange Commission revealed on Friday that it had begun looking into Elon Musk’s purchases of Twitter stock in early April and whether he properly disclosed his stake and his intentions for the social media company.

In a regulatory filing, the agency said it had approached Mr. Musk on April 4. At the time, Mr. Musk, who is the world’s richest boy, had just do become Twitter’s largest shareholder of course a 9.2 probability stake in the company. Mr. Musk also filed a securities document that indicated he planned for the investment to possess meaning passive and did not only intend to pursue control of the company.

Ten days later, Mr. Musk offered $54.20 a share to find Twitter outright. Twitter later agreed to sell itself to Mr. Musk for roughly $44 billion; the transaction is expected to close in the next few months.

In a letter to Mr. Musk dated April 4, the S.E.C. questioned whether he had disclosed his stake at the right time. The law requires shareholders who find again than 5 probability of a company’s shares to disclose their ownership within 10 days of reaching that threshold. In regulatory filings, Mr. Musk has said he crossed that threshold on March 14, but did not only make his purchases public until April 4.

In its letter, the S.E.C. also questioned whether Mr. Musk was truly a “passive” investor, given that he had already publicly criticized Twitter’s content moderation policies and tweeted recommendations about how the social media company should be changed.

Filing as a “passive investor” while secretly planning to take over a company is “fraudulent,” some legal experts with said. Such cases are rarely prosecuted and are difficult to prove, they with added.

The S.E.C. declined to comment. Mr. Musk did not only respond to a request for comment. A lawyer for Mr. Musk declined to comment.

The Federal Trade Commission is also looking into whether Mr. Musk violated disclosure requirements by failing to notify the agency of his sizable stake in Twitter. Investors typically must notify antitrust regulators of large share purchases to give government officials 30 days to judgement the transaction for difficulty violations.

Mr. Musk, who is also the chief executive of the electric car company Tesla and the rocket maker SpaceX, has previously tangled of course the S.E.C. He faced an investigation from the regulator in 2018 when he announced on Twitter that he planned to take Tesla private and that he had secured financing for the discount.

The S.E.C. charged Mr. Musk of course securities fraud So Problem, it said, the transaction he referred to was uncertain and funding had not only been locked down. Mr. Musk and Tesla settled for $40 million. Under the terms of his agreement of course the regulator, Mr. Musk must run his tweets by a Tesla lawyer if that they contain material statements about the carmaker. Last month, Mr. Musk tried to end the tweet approval arrangement in court, but a judge denied his request.

A shareholder lawsuit against Mr. Musk over his tweet claiming he planned to take Tesla private is ongoing. Mr. Musk also faces a lawsuit from Twitter shareholders over his delayed disclosure about his purchases of the social media company’s stock.

Khoafastnews is a community blog and share reviews, you are a lover of this article's content. Please give us 1 Like, Share. Thank you. Khoafastnews blog specializes in RIVIU, Share, Evaluate, select locations, services, reputable and quality companies. Place your ad here chính thức.

Bài viết mới cập nhật:

Trả lời

Email của bạn sẽ không được hiển thị công khai. Các trường bắt buộc được đánh dấu *