Judge Rejects Elon Musk‘s Attempt to Dismiss SEC Lawsuit Over Twitter Stock Disclosure

A federal judge has rejected Elon Musk’s request to dismiss a lawsuit filed by the U.S. Securities and exchange Commission (SEC). The lawsuit claims Musk was late in reporting his purchases of Twitter stock in 2022.

U.S. District Judge Sparkle Sooknanan, based in Washington, D.C., ruled against Musk on Tuesday. She stated that his arguments, which included claims that the SEC improperly punished him for his criticism of the judge, were not sufficient grounds for dismissal.

The SEC alleges that Musk did not promptly disclose his ownership stake in Twitter, violating securities laws. These laws require timely reporting of critically important stock acquisitions.

This case follows a previous SEC settlement with Musk in 2018 regarding misleading tweets about taking Tesla private. That settlement included requirements for oversight of Musk’s communications about Tesla and other companies.

The current lawsuit seeks to hold Musk accountable for allegedly failing to comply with disclosure requirements related to his Twitter stock purchases. The legal proceedings will now continue as the case moves toward a potential trial.

Published: 2026/02/04 04:23:51