SEC Chair Voted Against Suing Elon Musk: Reuters

Julia Smith
2025-03-24 17:21:00
cryptonews.com

Last updated: March 24, 2025 17:21 EDT

Author

Julia Smith

Author

Julia Smith

About Author

Julia is an experienced editor with a passion for covering a wide variety of beats. She loves all things politics and regularly covers regulatory updates on emerging technology here for Crypto News.

Last updated:

March 24, 2025 17:21 EDT

Why Trust Cryptonews

Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas – from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews

Acting Chair of the United States Securities and Exchange Commission (SEC) Mark Uyeda allegedly was the sole commissioner to vote against suing tech billionaire Elon Musk over his late disclosure of his stock in X (then Twitter), a Monday Reuters report claims.

Key Takeaways:

Uyeda and four other SEC commissioners held a private vote on whether Musk should face legal action over his late Twitter stock disclosure.
The SEC officially sued Musk on January 14 for failing to disclose his acquisition of over 5% of Twitter stock back in 2022.
The SEC has eased its enforcement approach to crypto, dropping lawsuits against companies like Ripple, OpenSea, and Coinbase.

According to the article, Uyeda and four other commissioners from the federal regulator held a “closed-door” vote over whether Musk should face legal repercussions for violating U.S. securities law.

SEC Commissioners Held Vote On Suing Elon Musk

Uyeda’s fellow commissioners, including Hester Pierce, all voted for litigation against the Tesla CEO, whereas Uyeda strayed from the pack.

The SEC, which had been investigating Musk since 2022, formally filed a lawsuit against him on January 14.

“Musk failed to timely file with the SEC a beneficial ownership report disclosing his acquisition of more than five percent of the outstanding shares of Twitter’s common stock in March 2022, in violation of the federal securities laws,” the SEC complaint states.

“As a result, Musk was able to continue purchasing shares at artificially low prices, allowing him to underpay by at least $150 million for shares he purchased after his beneficial ownership report was due,” the lawsuit continues.

The SEC Changes Course Under Trump Administration

Musk’s relationship with U.S. President Donald Trump has sparked a slew of public speculation, with the controversial politician tapping the SpaceX founder to lead the newly created Department of Government Efficiency (DOGE).

DOGE, which was designed to cut U.S. regulatory practices and government, has also garnered criticism for its role in the recent upheaval surrounding massive federal worker layoffs.

The SEC is facing its own exodus of employees, with reports indicating that hundreds of the commission’s workers are set to depart the agency.

Under the Trump administration, the SEC has significantly scaled back its regulation-by-enforcement approach to the crypto sector as a whole.

Highly-publicized lawsuits against key players in the crypto industry, including Ripple, OpenSea, and Coinbase, have since been dropped by the federal regulator.

It remains to be seen if Musk’s will be one of them.

FAQs

Why did the SEC sue Elon Musk?

The SEC allegedly sued Musk for failing to disclose his acquisition of over 5% of Twitter (now X) stock in a timely manner.

What was Mark Uyeda’s stance on the lawsuit?

Uyeda was reportedly the only SEC commissioner to vote against suing Musk, breaking from his colleagues in the federal regulator’s closed-door vote.

How does this lawsuit relate to Musk’s role in the Trump administration?

Musk was appointed by President Trump to lead the Department of Government Efficiency (DOGE), a move that has sparked speculation about his influence on regulatory decisions.

Source Link

Explore new destinations with ease using the Garmin Drive 52 GPS Navigator! With over 17,988 ratings and a solid 4.4/5-star rating, this GPS system has been a top choice for travelers. Over 500+ units were bought in the past month, all for only $144.99.

This 5″ GPS navigator comes with essential driver alerts, real-time travel data, and external memory storage. The simple on-screen menus and bright, easy-to-see maps make it easy to navigate wherever you are. Plus, it’s road trip-ready with The HISTORY Channel database, featuring notable historic sites and much more to enhance your journey.

Don’t miss out—get your hands on the Garmin Drive 52 today for a smoother ride ahead! Buy Now for $144.99 on Amazon!

Unlock unlimited streaming with a free Amazon Prime trial!
Sign up today!

Help Power Techcratic’s Future – Scan To Support

If Techcratic’s content and insights have helped you, consider giving back by supporting the platform with crypto. Every contribution makes a difference, whether it’s for high-quality content, server maintenance, or future updates. Techcratic is constantly evolving, and your support helps drive that progress.

As a solo operator who wears all the hats, creating content, managing the tech, and running the site, your support allows me to stay focused on delivering valuable resources. Your support keeps everything running smoothly and enables me to continue creating the content you love. I’m deeply grateful for your support, it truly means the world to me! Thank you!

BITCOIN

Bitcoin Logo