Elon Musk Faces Ongoing Dispute with SEC
Elon Musk, the CEO of companies like Tesla and Neuralink, is currently in a legal battle with the U.S. Securities and Exchange Commission (SEC). His lawyer, Alex Spiro, has accused the SEC of launching a harassment campaign against Musk and his businesses. The SEC has issued subpoenas and given Musk a 48-hour ultimatum to settle the dispute.
Industry Leaders Support Musk
Despite the SEC’s actions, Musk has found support from industry leaders. Vivek Ramaswamy, a member of the Department of Government Efficiency, criticized the SEC for wasting government resources and misinterpreting rules. He believes that the SEC’s actions are eroding public trust in the legal system.
Stuart Alderoty, the Chief Legal Officer of Ripple, also spoke out against the SEC’s tactics. He highlighted Ripple’s own legal battle with the SEC and accused the agency of using litigation to further its own agenda. Alderoty emphasized the need to hold the SEC accountable under its current leadership.
Upcoming Departure of SEC Chairman Gensler
Ripple’s leaders, along with others in the crypto industry, are celebrating the upcoming departure of SEC Chairman Gary Gensler, who is set to leave on January 20. Alderoty believes that once regulatory issues are resolved, Ripple will emerge as a leading provider of crypto solutions for U.S. businesses.
SEC Investigation into Musk’s Twitter Stake
The SEC has been investigating Musk for failing to promptly disclose his 9.2% stake in Twitter. He only revealed his stake on April 4, 2022, ten days after surpassing the 5% disclosure threshold mandated by the Hart-Scott-Rodino Act. This act requires individuals to disclose any ownership stake of 5% or more in a public company within ten days of acquisition.