Elon Musk

YEREVAN (CoinChapter.com) — The U.S. Securities and Exchange Commission (SEC) is pursuing legal sanctions against Elon Musk for not attending a scheduled testimony regarding his $44 billion acquisition of X.

SEC Seeks Contempt Charges Over X Deal

The SEC is pushing to hold Elon Musk in civil contempt for missing a testimony related to the 2022 Twitter acquisition. Musk was supposed to testify on Sep. 19, 2024, as part of an ongoing investigation, wherein the SEC alleges that his legal team repeatedly attempted to change the testimony date without following the required procedures.

SEC vs. Musk Court Document – Case 3:23-mc-80253-JSC. Source: Court Listener

The SEC now requests the court compel Musk to justify his failure to appear, with the potential for sanctions. The SEC also seeks to recoup travel costs due to the canceled meetings.

Musk’s Legal Team Defends Delayed Testimony

Musk’s attorneys argue that the SEC’s request for sanctions is unnecessary. They stated that the testimony has been rescheduled for Oct. 3, 2024, and that the delay is minor, given that the investigation has been ongoing for over two years.

Musk’s lawyer, Alex Spiro, explained that the previous meeting was missed due to an emergency and reassured the court that they would attend the October meeting.

Musk Faces Global Scrutiny Alongside U.S. Regulatory Actions

Musk’s social media platform, X, also confronts challenges beyond the SEC’s legal actions. In Aug. 2024, the Irish Data Protection Commission initiated a lawsuit against X, alleging data protection violations within the European Union, especially concerning user data collection.

In Sep. 2024, the Brazilian Supreme Court upheld a ban on X due to concerns over content moderation. Judge Alexandre De Moraes issued the original order, which remains in effect despite Musk’s efforts to reverse it.

Musk Tweets About Alexandre de Moraes. Source: X

Meanwhile, in the United Kingdom, Dawn Butler, a Labour Party member of parliament, suggested that Musk testifies before parliament regarding X’s content moderation policies.

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