SEC Grants Elon Musk Additional Six Weeks to Respond in Twitter Stake Disclosure Suit

The U.S. Securities and Exchange Commission (SEC) has extended the deadline for Elon Musk to respond to its civil lawsuit concerning his delayed disclosure of a significant Twitter stake in 2022, according to Reuters. The new deadline for Musk’s response has been moved to July 18, up from the original date of June 6, as agreed upon by both parties in a recent federal court filing in Washington, D.C. Per Reuters, the SEC and Musk jointly described the extension as “reasonable and in the interest of conserving judicial resources.” The agency’s complaint centers on Musk’s failure to promptly reveal his initial 5% ownership in Twitter, which the SEC claims gave him an unfair advantage. According to the regulator, Musk’s 11-day delay allowed him to acquire over $500 million worth of Twitter shares at prices lower than they should have been, potentially harming other investors who were unaware of his growing stake. Read more: OpenAI Pushes to Keep Countersuit Against Elon Musk in Expedited Trial The SEC is pursuing a civil penalty against Musk and aims to recover profits that the agency alleges Musk obtained through this delayed disclosure. Musk later went on to purchase the social media platform and rebrand
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