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- 1 The SEC recently sought the California District Court’s help in a subpoena sent to Musk in May 2023.
- 2 Elon Musk reacted strongly to this step and said that the SEC and DOJ needed an overhaul.
- 3 The instance has compelled some experts to mull over the situation and the future of X (formerly Twitter).
Elon Musk is known for his aggressive and intrepid disposition. The mercurial business tycoon does not fear putting this through boldly. He did it again this time taking cudgels up against the government regulators. According to him, the US Securities And Exchange Commission (SEC) and Department of Justice (DOJ) need an overhaul.
What Made Elon Musk Angry?
Last October, Elon Musk acquired Twitter. The incident upset many netizens who opposed the whole deal and questioned Musk’s leadership. While Musk didn’t give up the ownership of the social media platform, he stepped down as CEO. But none of that bothered him much as everything was going smoothly. However, it seems SEC is not happy with this acquisition anymore.
On October 5, the regulator submitted an appeal in a California District Court. Its objective is to compel Musk to adhere to the SEC’s previous subpoena. Also, the regulator is assessing the validity of the acquisition. They think that Musk may have violated some securities regulations. In response to that, Musk shared a biting post questioning the righteousness of this step. He said that it’s actually the people of the SEC and DOJ who need to be probed.
He also suggested that the government should take punitive action against these individuals. The X owner accused them of abusing their regulatory power for personal and political gain. Notably, it’s not the first time that Musk has come under the regulatory lens.
Previously, the SEC has taken various steps against companies led by him. A curious X user asked Musk about the likelihood of an investigation. He answered that there was a 100% chance of it.
It should be noted that this filing relates to the subpoena that the SEC issued in May 2023. It asked Musk to testify at the San Francisco office on September 15. While Musk initially gave a green signal to it, he refused to appear 2 days before the scheduled meeting. Back then, he cited some spurious objections from the agency. According to the SEC, it tried to arrange an alternative date and location for the testimony.
But Musk just refused to turn up and left them with no other option. Furthermore, the regulator said that Musk’s objections lack any legal ground. Musk has no valid reason to justify his non-compliance with the subpoena, they said.
Musk’s Future Plans With X
Since the acquisition, X has gone through a round of changes. From the name to the monetization of blue ticks and rewards to marketers, he has done it all. Many of these steps drew sharp criticism from the users and netizens. Nonetheless, X is hellbent on transforming itself. Some say that Musk wants X to be a financial institution. Back in April 2022, Musk talked about integrating Dogecoin as a payment option on the platform. On the other hand, Musk has dismissed the rumors of introducing an X crypto token.
Still, his support towards Dogecoin continues to grow. In an interview, he said that he isn’t advising anyone to invest in crypto. But he sees strong potential in Dogecoin. The implications of court proceedings and X’s course of action are yet to be seen.
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.
