Elon Musk sued over late disclosure of Twitter stake
Elon Musk is facing a class-action lawsuit from investors who say he waited too long to tell the world about his big stake in Twitter (now X).
The group, led by the Oklahoma Firefighters Pension and Retirement System, claims Musk broke the Securities and Exchange Commission (SEC) rules by missing a key disclosure deadline in March 2022.
They believe this delay let him save over $200 million while everyday investors lost out.
Investors seek damages after delayed disclosure
Because Musk's 9.2% ownership wasn't made public until April 4, 2022, investors argue they sold their shares for less than they were worth. Now they're seeking damages for their losses.
The judge says Musk's actions may have seriously impacted share prices and investor decisions.
Plus, this case is separate from other legal troubles he's had around buying Twitter.