Twitter’s new owner Elon Musk has yet to submit his tweets about his electric car company Tesla for pre-approval after a judge on Wednesday denied an appeal he sought to be released from that oversight.
Musk filed an appeal in March to overturn restrictions imposed by the Securities and Exchange Commission (SEC) over a tweet published in 2018 in which he said he had acquired funding to take Tesla off the market, but did not present evidence or documents beforehand. the American stock market regulator.
The tweet, which drove stock prices up sharply, was deemed “false and misleading” and shareholders accused Tesla of securities fraud. The SEC also accused Musk of fraud and ordered him to resign as chairman of the company’s board of directors, pay a $20 million fine and, after another tweet (in early 2019), demanded that all his tweets directly related to the company’s business was previously approved by a competent lawyer.
Musk said he was forced to accept the deal and denied lying to shareholders. However, “Musk’s assertion that he was the victim of economic coercion is utterly unconvincing,” Judge Lewis Liman wrote in his sentencing. He said Musk’s argument that the SEC used the settlement “to intimidate him” into investigating his publications “has no merit” and is “particularly ironic” given that free speech rights do not allow him to do so. statements “deemed to be fraudulent” or that violate securities laws.