The SEC is claiming that Elon Musk distorted the extent of the investigation into his 2022 acquisition of Twitter in an effort to make him participate in a deposition.
The agency stated in a new filing that Musk is still misrepresenting the true extent of the investigation, hoping to prove that the SEC is not seeking relevant evidence.
In October, the SEC filed a lawsuit against Musk to compel him to testify in its examination of his Twitter purchase, which he has now renamed X.
Last month, Magistrate Judge Laurel Beeler ruled that Musk must undergo the deposition with the agency. However, the issue was later referred to a district judge after Musk questioned the jurisdiction of the magistrate judge.
The billionaire is now requesting the district judge to reconsider the issue. The SEC argued on Wednesday that Beeler made the right decision in ordering Musk to testify, accusing him of misrepresenting the scope of the investigation and the relevance of his testimony.
The investigation was launched by the agency in April 2022 to determine if any federal securities laws were violated in relation to Musk’s purchase of Twitter stock and his statements and SEC filings regarding Twitter.
In 2022, Musk initially participated in two half-day sessions with the SEC. A year later, the agency requested him to participate in another session, but he declined to appear.
In a recent filing, Musk argued that the latest request for testimony comes after a nearly two-year investigation triggered by allegedly late filings, and seeks to question him on issues he has already addressed twice before.
However, the SEC stressed on Wednesday that the investigation is also looking into Musk’s statements about potentially acquiring Twitter and plans to ask him new questions based on new information. The agency also accused Musk of prolonging the investigation.
The SEC mentioned that since reaching out in April 2023, Musk has been doing everything possible to delay the resolution of this matter. They stated that Musk is now complaining about the investigation taking too long, but it was actually his delay tactics that turned one year into nearly two.
