Elon Musk has agreed to pay $1.5 million to settle claims by the U.S. Securities and Exchange Commission (SEC) regarding the untimely disclosure of his stake in Twitter in 2022. This was reported by Bloomberg, according to UNN.
Details
The SEC accused Musk of failing to disclose in a timely manner the accumulation of more than a 5% stake in Twitter, which the regulator estimates caused shareholders losses of over $150 million.
Following the public disclosure of this information, the company's shares rose by approximately 27%.
Terms of the Agreement
The fine will be paid by Musk's revocable trust. At the same time, the entrepreneur himself did not admit to the allegations. The settlement is still subject to court approval.
The settlement amount is significantly lower than the more than $200 million that the SEC, according to Bloomberg, initially demanded.
Musk's lawyer, Alex Spiro, called the payment a "small fine."
"Mr. Musk has now been cleared of all issues related to the late filing of forms,"
The SEC noted that this settlement could become the largest fine in cases involving the untimely disclosure of beneficial ownership.
The lawsuit against Musk was filed in January 2025. It concerned events in 2022, when the entrepreneur acquired Twitter and subsequently renamed the platform X.