US: Securities and Exchange Commission investigates delay of Elon Musk’s announcement on Twitter

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Authorities in the United States are investigating the delay in announcing Elon Musk’s acquisition of a significant stake in Twitter Inc last month, according to a report in The Wall Street Journal yesterday, citing sources who have received relevant information.

Musk revealed the 9.2% stake in Twitter to the US Securities and Exchange Commission (SEC) on April 4, with a delay of at least ten days, while the 5% stake, which is the mandatory limit, had been exceeded. disclosure of the stock market, according to the publication.

An investor who owns more than 5% of a company’s shares must complete a form and submit it to the SEC within ten days. This move has the character of an early warning to other shareholders that a large investor may seek to take control of the company.

The SEC declined to comment on the report, and the CEO of Tesla Inc. did not immediately respond to a request for comment.

In addition to the delay, the filing of relevant documents made by Musk on April 4 characterizes his share as liabilities. In his move, he told the committee that he had no plans to acquire Twitter or influence its management or operation as a business.

However, he was offered a seat on the board of Twitter Inc. the next day, and about two weeks later the richest man in the world struck a $ 44 billion (€ 41.84 billion) deal to buy the social networking site.

Musk has a long history of squabbling with the U.S. Securities and Exchange Commission. An American judge recently reprimanded him for trying to evade a settlement with the same committee, with the SEC demanding that it oversee Musk’s posts about Tesla on Twitter.

In April, The Information Technology subscription reported that the Federal Trade Commission was investigating whether Musk had violated a law requiring companies and investors to report specific acquisitions of large equity portfolios to the authorities against market monopolies in the US.

source: ΑΠΕ

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