Last week, it was revealed that a San Francisco judge had determined that one of Musk’s 2018 tweets about taking his company private was a lie.
It’s one of at least a dozen high-profile cases that Tesla or Musk are involved in years after he posted the infamous “funding secured” tweet, sending shares soaring and inviting the wrath of the U.S. Securities and Exchange Commission.
Now, as Musk ramps up his battle to buy Twitter Inc., the lingering ramifications of his prior use of the social media platform may come back to haunt him.
The judge’s decision tips the scales heavily in favor of Tesla investors who are suing Musk and Tesla for as much as $12 billion in trading losses they blame on the go-private tweets. That case is set for a jury trial in January.
The decision also poses a threat to Musk’s effort to unleash himself from oversight by the SEC — a quest so personal for the world’s richest person that he became visibly emotional while lambasting the agency during a TED talk in Canada last week.