A Twitter investor sued Ilan Musk for failing to disclose the company's stock purchase

A Twitter shareholder complained to Ilan Musk about being late in disclosing the purchase of Twitter shares because it caused Twitter shares to be low for a while. Stay.

As it turns out, the Twitter and Ilan Mask affair is not going to end. The situation started when Ilan Mask was supposed to be present in the company as part of the Twitter board until 2024, and even the news of the purchase of 9.2% of Twitter shares by Mask was published. Ilan Musk later conducted a poll asking users to comment on the tweet editing option.

It could be decided to sue Ilan Musk in federal court in Manhattan for fraudulent securities. Rasella, representing a group of investors who sold Twitter shares from March 24 to early April, plans to take the lawsuit to court. And this has caused other investors in the company to lose. It is said that the delay in announcing the purchase of Twitter shares by Ilan Musk has caused him to make a profit of $ 143 million, while this has been to the detriment of other investors in the company.

It bought 5% or more of Twitter shares, notifying the Securities and Exchange Commission, but it happened 11 days later. That was when Musk bought another 9% of Twitter shares and was, in fact, the company's largest shareholder. Russell now says that Musk not only did not inform investors that he had bought a 5% stake in Twitter, but was able to buy them at a cheaper price by not announcing his purchase in time.

Now it remains to be seen what will happen in response to Rasella's complaint will occur.

Source: Engadget