Elon Musk listens as US President-elect Donald Trump speaks during a House Republicans Conference meeting at the Hyatt Regency on Capitol Hill on November 13, 2024 in Washington, DC.
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The Securities and Exchange Commission has agreed to give Elon Musk more time to respond to its lawsuit over his alleged failure to properly disclose purchases of Twitter stock before bidding to buy the company.
In a motion filed Thursday in U.S. District Court in Washington, the SEC said it had reached a joint agreement with Musk to push back the deadline for his response to Aug. 29. The date was originally set for June 6, before being extended to July 18, according to the filing.
The SEC filed its lawsuit against Musk in January. The agency contends that Musk, who is also CEO of Tesla and SpaceX, violated securities law in 2022 by failing to disclose that he had built an active stake in Twitter. In doing so, it enabled him “to underpay by at least $150 million for shares he purchased after his financial beneficial ownership report was due,” according to the SEC.
Musk purchased Twitter, which he later renamed to X, for $44 billion in 2022.
The SEC is seeking a jury trial and asks that Musk be forced to “pay disgorgement of his unjust enrichment” as well as a civil penalty.
Lawyers for Musk, who is the world’s richest person, have previously denied that he did anything wrong and called the lawsuit a “sham.”
— CNBC’s Lora Kolodny contributed to this report.
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