Business

Elon Musk Gets Sued in Stunning Fashion

Yuppie Capital

Well well well…how the turntables. Albeit this isn’t the first time that Musk has come under fire for his unorthodox ways, a Twitter shareholder is suing Mr. Musk, claiming that the business mogul and world renowned genius committed securities fraud by his delayed announcement of his fresh new stake in the social media giant.

The lawsuit was filed in the U.S. District Court for the Southern District of New York on Tuesday. and within the lawsuit, the plaintiff Marc Bain Rasella claims that Elon did not disclose of his stake in the company within the required timeframe. Rasella claims that this was to Elon’s benefit, and could have caused harm to shareholders who sold the stock. Musk made the disclosure on April 4th (ya boy’s birthday, no coincidence) that he had amassed a 9.2% stake in the company, giving him quite literally the biggest bag of the company. FINALLY THE MORAL BEACON AND FIGHTER FOR FREE SPEECH WE’VE BEEN WAITING FOR.

The announcement of the massive Twitter stake taken by Elon prompted a rare, once in a lifetime trade alert by one our very own writers and Wall Skreet analyst, @glizzyoptions. We hope you caught this absolute baggy.

https://twitter.com/glizzyoptions/status/1511063774337269768

When an investor acquires more than 5% of a company, they are required to report their stake in the company within 10 calendar days. By virtue of this, the lawsuit claims that Musk should have disclosed his fresh position by March 24th. The lawsuit alleges that Musk saved ~$140 million on buying stock in Twitter.

Rasella claims that he had sold shares in the company at “depressed prices” during this time period, and thus, assumed damages as a result of Musk’s lack of disclosure within the required timeframe.

Not only was Musk crowned as Twitter’s largest shareholder, but went on to just put the company on blast, taking shots at celebrities with large followings (Biebervelli & Taylor Swift amongst the unlucky group) who rarely post any content to the site. Musk went on to posit the question; “Is Twitter dying?”

I’ve said it once, and I’ll say it again (and will continue to say it until the day I die); this man is an absolute top notch finesser. I guess when ingenuity just runs in your genes, you are able to skirt just about every ounce of legality that exists within this world. You truly have to appreciate what this man does. A businessman of insane engineering prowess, and smooth operator.