WILMINGTON –
Elon Musk is under a federal investigation associated to his US$44 billion takeover deal for Twitter Inc, the social media firm stated in a court filing made public on Thursday.
Twitter stated it requested that Musk’s attorneys produce their communications with federal authorities months in the past however that they had not performed so, and requested a Delaware decide to order the attorneys to present the paperwork.
In late September, Musk’s attorneys supplied a “privilege log” figuring out paperwork to be withheld from discovery. The log referenced drafts of a May 13 e mail to the U.S. Securities and Exchange Commission and a slide presentation to the Federal Trade Commission, Twitter stated.
An lawyer for Musk didn’t instantly reply to a request for remark.
The court request was filed on Oct. 6, the identical day the court granted a keep of litigation to enable Twitter and Musk to shut the takeover deal.
The SEC has questioned Musk’s feedback in regards to the Twitter acquisition. In April, the SEC requested Musk whether or not the disclosure of his 9 per cent Twitter stake was late and why it indicated that he supposed to be a passive shareholder. Musk later refiled the disclosure to point out he was an lively investor.
In June, the SEC requested Musk in a letter whether or not he ought to have amended his public filing to replicate his intention to droop or abandon the deal.
(Reporting by Tom Hals in Wilmington, Delaware, Sheila Dang in Dallas and Hyunjoo Jin in San Francisco; Editing by Chris Reese)