Elon Musk's Plea to Relocate SEC Suit to Texas Denied by D.C. Judge
Elon Musk's request to relocate an SEC lawsuit to Texas was denied by a Washington D.C. judge. Despite Musk's claims of being too busy and the inconvenience imposed, the court emphasized Musk's considerable resources and past time spent in D.C. The SEC's case centers around Musk's delayed Twitter investment disclosure.
Elon Musk's attempt to shift a contentious lawsuit with the Securities and Exchange Commission (SEC) to Texas has been thwarted by a federal judge in Washington, D.C. Despite Musk's arguments of being overworked and inconvenienced, Judge Sparkle Sooknanan ruled against the move, citing Musk's vast means and regular time spent outside Texas.
The judge pointed out that the legal system in Texas already faces heavier caseloads than her own court, allowing her to handle the matter with 'reasonable alacrity.' Musk's legal team argued that his demanding 80-hour workweeks and frequent overnights at work made defending himself in Washington burdensome.
The lawsuit involves accusations by the SEC against Musk for delaying the disclosure of his initial 5% stake in Twitter in early 2022, which reportedly allowed him to purchase shares at lower prices. Musk, who acquired Twitter in October 2022 and rebranded it as X, continues to seek the dismissal of the case. Meanwhile, his substantial wealth crossed the $500 billion mark recently.
(With inputs from agencies.)
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