SEC Sues Musk for Cheating Twitter Shareholders

In late March 2022, Elon Musk exceeded a 5% ownership threshold in Twitter but delayed reporting it, continuing to buy shares. The SEC claims this delay affected share prices, potentially disadvantaging shareholders. Musk's lawyer argues that such reporting delays typically incur nominal fees. With a new SEC chair, Paul Atkins, known for his business-friendly stance, the outcome remains uncertain.

When did Elon Musk surpass the 5% ownership threshold of Twitter?

• Late March 2022

• May 2022

• Early March 2022

• April 2022

What was the total worth of shares Musk accumulated after surpassing the 5% threshold?

• $1 billion

• $500 million

• $200 million

• $100 million

What does the SEC claim would have happened if the public knew about Musk's increased ownership?

• There would be no change in share price

• The share price would have been stable

• The share price would have been higher

• The share price would have been lower

What is the typical consequence for missing reporting deadlines according to Musk's lawyer?

• Nominal fees

• Severe penalties

• No consequences

• Public apology

Who is the new SEC chair known for being lenient towards Wall Street?

• Elon Musk

• Paul Atkins

• Gary Gensler

• Janet Yellen