Elon Musk has been ordered to testify in the U.S. Securities and Exchange Commission (SEC) probe over his purchase of Twitter (now X) in October 2022.
The SEC is looking into whether or not Musk committed securities fraud when he started sweeping up Twitter stock to build a stake in the social media platform before purchasing it.
The acquisition cost Musk an estimated $44 billion.
On Saturday, California Federal Court Judge Laurel Beeler ruled that the SEC was “within its authority” to subpoena the billionaire and set a one-week deadline for Musk and the regulatory agency to choose a date and location for the testimony.
If both parties are unable to agree on a place and a time, the judge will decide for them after hearing each side’s requests.
Musk was originally sued by the SEC in October 2023 after he refused to attend an interview with the regulatory organization the month before over the probe into his purchase of X.
The billionaire’s legal team has argued that the SEC’s investigation and interest in Musk has “crossed the line into harassment,” fueling his refusal to meet with the agency.
Musk’s feud with the SEC dates back to 2018 when the billionaire jokingly Tweeted, “funding secured” about taking Tesla private, prompting the SEC to sue him for spiking and subsequently plummeting Tesla’s stock valuation, claiming that he misled investors.
Musk settled for $20 million and the stipulation that he’d step down as Chairman of the Board at Tesla.
“Thank goodness, the wisdom of the people has prevailed,” Musk Tweeted at the time. “I am deeply appreciative of the jury’s unanimous finding of innocence in the Tesla 420 take-private case.”
Read the order to compel compliance, here.
