Elon Musk is being sued for purposefully messing with Twitter’s stock price for personal gain.
A Twitter shareholder has filed a lawsuit against Elon Musk in federal district court on Wednesday night, alleging the billionaire actively manipulated the company’s stock for personal gain.
The complaint mainly focuses on the behaviour Musk has displayed since announcing his desire to purchase the platform. It also points out a specific comment the Tesla CEO made saying that the deal “cannot move forward” without more information about automated accounts.
The complaint alleges: “Musk proceeded to make statements, send tweets, and engage in conduct designed to create doubt about the deal and drive Twitter’s stock down substantially in order to create leverage that Musk hoped to use to either back out of the purchase or re-negotiate the buyout price.”
“As detailed herein, Musk’s conduct was and continues to be illegal, in violation of the California Corporations Code, and contrary to the contractual terms he agreed to in the deal,”
More to come.