A federal judge expressed significant concerns about a $1.5 million settlement between Elon Musk and the SEC regarding undisclosed Twitter stock purchases, noting potential corruption in the agency's decision-making. However, citing a high legal threshold for rejection, the judge approved the consent judgment, stating that accountability for such executive branch actions should ultimately be decided by voters.
Background
The case stems from Musk's failure to disclose a 9% stake in Twitter in 2022 as required by securities laws, which the SEC alleged allowed him to underpay investors by at least $150 million. This settlement concludes a lawsuit filed by the Biden-era SEC shortly before the end of the administration.
- Source
- Ars Technica
- Published
- Jul 10, 2026 at 03:10 AM
- Score
- 6.0 / 10