Elon Musk Wins Legal Battle Against SEC Over $44B X Acquisition Deal
- Elon Musk defeats SECs attempt to fine him over missed meeting in $44B X acquisition deal.
- Musk wins legal victory, secures no penalties for skipping SEC meeting amid SpaceX rocket launch.
- SECs failed lawsuit over Dogecoin manipulation adds to Musks string of recent legal triumphs.
Tesla CEO Elon Musk has been able to defeat a critical decision by the U.S. Securities and Exchange Commission (SEC) in the ongoing legal struggle. The SEC has been denied by a court to fine Musk for failing to attend a meeting with the agencys lawyers over his $44 billion purchase of the social media platform X.
The case started in December 2023 when Elon Musk failed to attend a meeting with the SEC lawyers preferring to watch the SpaceX rocket launch. The SEC asked for penalties based on Musks absence at the meeting that was set to be a part of a court order made in May 2023. However, in this case, U.S. District Judge Jacqueline Scott Corley decided that Elon Musk should not be penalized as he had already coughed out the money for flights of the three SEC lawyers who were to meet with him.
Elon Musk Meets Court Requirements
According to Judge Corley, Elon Musk has complied with the previous court order in some other ways such as meeting with the SEC officials in October and even testifying about the acquisition of X. The judge denied the notion of a penalty saying that Musk had done enough to meet the conditions set by the court.
Elon Musk, responded to the ruling through his social media posting a sarcastic message about the SEC. He stated, SEC. The middle word is definitely Elons, but I can never remember what the other two words stand for.
This is the latest in a series of legal triumphs for Musk, who also recently had a lawsuit that accused him of manipulating the Dogecoin price withdrawn. Musk who were accused by the investors that filed the case against them, saw the investors backing out of the appeal, a win for Musk in a week of multiple wins.
Criticism of SEC Spending
Musks influence on government has also been increasing due to his appointment as the co-chair of the soon to be formed Department of Government Efficiency (DOGE). In this role, Musk will manage federal entities such as the SEC and manage funds coming from taxpayers that could lead to another lawsuit with the SEC.
The move has come under criticism from some quarters and this includes Ripples Chief Legal Officer Stuart Alderoty who has challenged Musk to look into the spending habits of the SEC. Alderoty noted that the Commission is spending taxpayers money on unmerited enforcement actions and thereby adding more heat to the ongoing legal and political war between Musk and the SEC.
As Musk and Tesla keep on growing their dominance in the business world and government relations his relations with the SEC are not over yet. His legal victories and his role in the government paved the way to future disputes and many expected another conflict between Musk and the regulatory body.
Read more: https://www.tronweekly.com/elon-musk-wins-legal-battle-against-sec-over-44/
Text source: TronWeekly
