(DailyVantage.com) – After becoming the number one shareholder of Twitter in early April, Elon Musk submitted a takeover bid, offering the social media giant approximately $43 billion. The entrepreneur said he wanted to take the site private to restore free speech and eliminate censorship, which critics say has mostly singled out Conservatives. Yet, it seems Musk’s actions may have invited the attention of two federal agencies, according to a source close to the matter.
According to Fox News business correspondent Charlie Gasparino, Musk’s takeover bid stirred the proverbial hornet’s nest and drew the attention of the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ). The attention stems from a class action complaint filed by Marc Bain Rasella, in which he alleges the billionaire didn’t file the appropriate paperwork on time following his purchase of Twitter stock.
BREAKING: As @elonmusk offers to buy the rest of @Twitter a legal source tells @FoxBusiness @SECGov and @TheJusticeDept have launched what he described as a "joint investigation" into a myriad of Musk regulatory issues primarily involving @Tesla https://t.co/TDFLED1XuI
— Charles Gasparino (@CGasparino) April 14, 2022
If the SEC were to take action, it wouldn’t be Musk’s first brush with the agency. In 2018, he settled with the SEC and agreed to pay $40 million in fines for a securities fraud charge related to a tweet in which the Tesla owner said he could take the company private, thus sending the stocks into a frenzy and “failing to have required disclosure controls and procedures” in place.
What do you think? Are the potential SEC and DOJ probes related to Musk’s move on Twitter?
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