Musk-SEC Rivalry Returns — Neuralink Owner Namedrops Gary Gensler After Regulatory Rap
The letter also referenced an ongoing probe into Musk's acquisition of Twitter, which he took private in 2022 for $44 billion.
Elon Musk hit back at the US Securities and Exchange Commission as the regulator reopened an investigation in his Neuralink Crop., and prepared to level multiple charges against him.
The billionaire, who recently became the first individual to clock a net worth of $400 billion, mentioned SEC chair Gary Gensler in a post on X, along with a letter from his lawyer Alex Spiro on the matter.
The SEC’s investigation into Musk and his various ventures, including Neuralink, appears to be expanding. The letter, dated this week, did not specify the exact nature of the charges, but Spiro outlined that the SEC is preparing to charge Musk on "numerous counts". The lawyer also indicated that the US markets regulator had given Musk 48 hours to accept a settlement or face enforcement action. According to Spiro, the settlement would involve a monetary payment, though specifics on the penalty or further charges remain unclear.
Musk’s lawyer further revealed that the SEC has reopened its investigation into Neuralink. This comes after earlier scrutiny of the company's practices, particularly around the safety of animal testing, which raised ethical concerns. The SEC’s renewed interest suggests the agency is deepening its examination into the business operations and potentially, its compliance with federal regulations.
The letter also referenced an ongoing probe into Musk's acquisition of Twitter, which he took private in 2022 for $44 billion. The SEC has been investigating whether Musk complied with disclosure requirements related to his purchase of Twitter stock prior to the deal. Musk had failed to disclose his stake in the company within the required time frame, a violation that drew scrutiny from regulators.
Musk's relationship with the SEC has been contentious for years. The billionaire CEO of Tesla and SpaceX was previously sued by the agency in 2018 over a tweet about taking Tesla private.
As the SEC’s investigation continues, Musk's legal team has expressed concerns about the timing and fairness of the Commission’s demands.
