Lawsuit accuses Elon Musk of breaking law while nearly doubling Twitter stock

[riversedge]

I really hate greedy people and Musk is at the top of the list.



@NewsHour
·
Apr 13
Elon Musk's strategy, the lawsuit alleges, hurt less wealthy investors who sold shares in Twitter in the nearly two weeks before he acknowledged holding a major stake.

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Lawsuit accuses Elon Musk of breaking law while nearly doubling Twitter stock

https://www.pbs.org/newshour/nation/lawsuit-accuses-elon-musk-of-breaking-law-while-nearly-doubling-twitter-stock




Nation Apr 13, 2022 10:05 AM EDT

SAN FRANCISCO (AP) — Elon Musk’s huge Twitter investment took a new twist Tuesday with the filing of a lawsuit alleging that the colorful billionaire illegally delayed disclosing his stake in the social media company so he could buy more shares at lower prices.

The complaint in New York federal court accuses Musk of violating a regulatory deadline to reveal he had accumulated a stake of at least 5 percent. Instead, according to the complaint, Musk didn’t disclose his position in Twitter until he’d almost doubled his stake to more than 9 percent. That strategy, the lawsuit alleges, hurt less wealthy investors who sold shares in the San Francisco company in the nearly two weeks before Musk acknowledged holding a major stake.

READ MORE: SEC claims authority to subpoena Elon Musk over tweets

Musk’s regulatory filings show that he bought a little more than 620,000 shares at $36.83 apiece on Jan. 31 and then continued to accumulate more shares on nearly every single trading day through April 1. Musk, best known as CEO of the electric car maker Tesla, held 73.1 million Twitter shares as of the most recent count Monday. That represents a 9.1 percent stake in Twitter.

The lawsuit alleges that by March 14, Musk’s stake in Twitter had reached a 5 percent threshold that required him to publicly disclose his holdings under U.S. securities law by March 24. Musk didn’t make the required disclosure until April 4.

That revelation caused Twitter’s stock to soar 27 percent from its April 1 ..................continues

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[AllaN01Bear]

1. hositile takeover fails . he wants his buddy on twit again. bleh.