A US Federal court has mandated that Elon Musk must testify again in the US Securities and Exchange Commission’s (SEC) investigation into his $44 billion acquisition of Twitter. This decision, made on Tuesday, compels Musk to provide further testimony in the ongoing probe.
The SEC had previously sued Musk in October to enforce his testimony after he declined to attend a September interview related to the investigation. Musk has claimed that the SEC’s numerous subpoenas constitute harassment.
The SEC’s investigation focuses on whether Musk violated federal securities laws in 2022 when he purchased Twitter stock. The probe also examines Musk’s public statements and SEC filings associated with the acquisition.
In February, US Magistrate Judge Laurel Beeler ruled in favor of the SEC’s request to compel Musk’s deposition. Musk subsequently sought a review of this decision.
US District Judge Jacqueline Scott Corley upheld the ruling, stating, “As Judge Beeler explained, the investigations Musk contends constitute harassment are ‘legitimate government investigations’… Musk has not met his burden of demonstrating the subpoena is unreasonable.”
This latest development continues the prolonged conflict between Musk and the SEC, which began in 2018 when Musk tweeted that he had “funding secured” to take Tesla private.
In 2022, Musk provided the SEC with documents for its investigation and testified via videoconference over two half-day sessions in July. The SEC indicated in court documents that new documents have prompted further questions for Musk, necessitating additional testimony.
Musk has not yet commented on the court’s decision.