Elon Musk settles SEC lawsuit over Twitter share purchases and disclosures

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Elon Musk has agreed to pay $1.5 million to settle a lawsuit filed last year by the Securities and Exchange Commission. The agency, which has been pulling back on lawsuits against major companies, ended a case that accused the world's richest person of hiding his purchases of Twitter stock.

The SEC alleged that Musk failed to timely disclose his growing stake and buildup of ownership in the social media platform, which he has since renamed X. The case claimed that Musk cheated Twitter shareholders in 2022 and saved $150 million by filing disclosure paperwork 11 days late.

The penalty imposed on the tech mogul is the largest in SEC history for the type of violation he was accused of.

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